deadweight loss is the reduction in economic surplus resulting from a market not being in competitive…

deadweight loss is the reduction in economic surplus resulting from a market not being in competitive equilibrium. in the diagram, deadweight loss is equal to the area(s):\na. b & d.\nb. c & e.\nc. a, b, & c.\nd. a.

deadweight loss is the reduction in economic surplus resulting from a market not being in competitive equilibrium. in the diagram, deadweight loss is equal to the area(s):\na. b & d.\nb. c & e.\nc. a, b, & c.\nd. a.

Answer

Brief Explanations:

Deadweight loss represents the inefficiency in a market when it is not in competitive equilibrium. In a supply - demand diagram, it is the area of the triangle that is lost due to the market not operating at the optimal (competitive equilibrium) quantity. In the given diagram, the deadweight loss is the area of the triangle made up of regions C and E, which represents the value of the transactions that do not occur due to the non - equilibrium situation.

Answer:

B. C & E