Monopoly welfare losses and elasticity

Tim James, Jolian McHardy

Research output: Contribution to journalArticle

1 Scopus citations


In this note it is shown that if constant marginal costs and linear demand are assumed then it is possible to derive a simple relationship between monopoly welfare losses as a proportion of the value of sales and the level of elasticity in the monopoly outcome.

Original languageEnglish (US)
Pages (from-to)251-252
Number of pages2
JournalEconomics Letters
Issue number3
StatePublished - Jul 1997


  • Elasticity
  • Monopoly welfare loss

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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