Economic surplus

Economic surplus

Displaying 1 - 10 of 42 articles

Simplifying payment card regulation

Payment card fees are ridiculously complex. When you pay by a card, the merchant pays a fee to its bank. Sometimes it will pass some, all, or more of the fee through to you, the customer, through a surcharge…

ACCC settlement will empower petrol consumers

The ACCC has settled the ‘Informed Sources’ case and this will help empower petrol customers. How does this help petrol buyers? Let’s start with the economics. If businesses exchange price information…
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Why Uber’s surge pricing is naive economics

Economists love Uber’s surge pricing. But it is doomed, because customers hate it. Why? Surge pricing occurs when the supply and demand for Uber vehicles becomes unbalanced, for example, due to inclement…

Lessons from the Apple e-book case

The Court of Appeals in the US has ratified Apple’s guilt in the e-book case. It was a two-to-one decision by the three judges on the Court. And it provides two lessons for Australia. First, when industries…