When a supply curve is relatively flat (elastic), there is little producer surplus, so producers won't lobby hard for or get excited about a price/tax change; yet because the demand curve's shape is independent, consumers can capture huge gains from the same change—explaining why innovations are often small producer-side tweaks that yield large consumer value.
causalpending
Speaker
Garrett JonesEvidence Quote
“if the supply curves really flat then what that means is there's not that much what we call producer surplus out there in the market”
Created: 6/17/2026, 10:31:36 AM
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