Welfare Flashcards
1
Q
Period analysis- split into 3 time frames
A
SR- Where Demand and Supply influence the normal price
LR- Supply has a greater influence on normal price
ELR- Technical and organisational change makes prices fully adjustable
2
Q
Edgeworth on additive utility
A
Begun understanding of complements substitutes and cross price elasticity
3
Q
Pareto Optimality
A
a state of allocation of resources in which it is impossible to make any one individual better off without making at least one individual worse off
