The loss of total surplus that results when the quantity of a good that is bought and sold is below the market equilibrium quantity:
A)is deadweight loss.
B)occurs in inefficient markets.
C)occurs when the market price is set above the equilibrium price.
D)All of these are true.

Question

Quizplus · Accepted Answer

Deadweight loss is the loss of total surplus due to inefficiency, which occurs when the quantity is below equilibrium, often due to prices set above equilibrium.

The Loss of Total Surplus That Results When the Quantity