ECO204Y1 Lecture Notes - Lecture 6: Steven Landsburg, Economic Surplus, Economic Equilibrium
Document Summary
From eco100: review consumer surplus, producer surplus, total surplus. Textbook: p. 169-174 (consumer surplus), 181-184 (price indices), David card"s lecture notes p. 24-27 (price indices), 91-93 (consumer surplus), 154-161 (empirical. You can find david card"s notes in the course material section of the portal page. (useful resource for other topics as well. ) Key terms: make sure you know definition, example, context and purpose for each of the following: compensated variation, equivalent variation, consumer surplus, producer surplus, social gain (total surplus, deadweight loss, efficiency criterion. Quality bias: natural experiments, treatment and control groups, discontinuity research design. Others are challenging and open-ended and give you opportunity to think deeply and creatively. Often, problems require additional assumptions that are not explicitly stated. Learning to make additional assumptions is a large part of learning to do economics. In some cases there will be more than one correct answer, depending on what assumptions you made.
