The Deadweight Loss Associated with Output Less Than the Competitive

question 28

Multiple Choice

The deadweight loss associated with output less than the competitive level can be determined by

• A) subtracting the competitive level producer surplus from the producer surplus associated with less output.
• B) subtracting the consumer surplus from the producer surplus associated with less output.
• C) summing the consumer and producer surplus associated with less output.
• D) summing the change in the total consumer and producer surplus from moving from the competitive level of output to less output.

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Definitions:

Negative Punishment

A behavior modification technique where a desirable stimulus is removed after a behavior, with the aim of decreasing that behavior.

Avoidance Responding

A behavior modification technique aimed at reducing unwanted responses by avoiding the triggers.

Negative Reinforcement

A behavior reinforcement strategy in which an undesirable or discomforting stimulus is removed after the display of a behavioral response.

Escape Responding

A behavior that is motivated by the desire to terminate an aversive stimulus, resulting in the avoidance or cessation of discomfort.