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Consumer's Surplus and Cardinal Utility

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  • Robert L. Bishop

Abstract

Three definitions of consumer's surplus, 422. — The assumption of universal independence, 422. — The "marginal-utility demand curve," 423. — Open-topped marginal utility curves, 426. — Interpersonal and intertemporal comparisons of utility, 426. — Marshall's first version: extra expenditure, 427. — Its diagrammatic analysis, 429. — Nicholson's criticism of Marshall, 432. — Marshall's second version: the demand curve, 433. — Cannan's criticism, 435. — A necessary condition of independence, 437. — Relaxing the independence assumption: (1) One utility independent of all others, 438. — Alternative tests of independence, complementarity, competitiveness, 442. — (2) Independence between groups, 443. — (3) The case of "least independence," 444. — Summary of basic tests, 447. — Conclusions, 448.

Suggested Citation

  • Robert L. Bishop, 1943. "Consumer's Surplus and Cardinal Utility," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 57(3), pages 421-449.
  • Handle: RePEc:oup:qjecon:v:57:y:1943:i:3:p:421-449.
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    Cited by:

    1. Pope, Rulon D., 1984. "The Economic Value Of Consumer Information: A Selected, Annotated Bibliography," Staff Reports 278877, United States Department of Agriculture, Economic Research Service.
    2. Rozenn Martinoia, 2000. "Le surplus des consommateurs d'Alfred Marshall : une généalogie intellectuelle," Cahiers d'Économie Politique, Programme National Persée, vol. 36(1), pages 39-58.

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