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As long as there is no deadweight loss, and I can't see how that could happen, all I see is a transfer from consumer's surplus to producer's surplus. But to thi
by josu 13y ago
As long as there is no deadweight loss, and I can't see how that could happen, all I see is a transfer from consumer's surplus to producer's surplus. But to this, you should add the fact that surge pricing puts more cab drivers on the streets than usual, thus increasing supply, which will in turn become a net benefit for society (although probably not paretian).