Welfare Losses Due to Market Power: Hicksian versus Marshallian Measurement
警告在分析市场势力时不要使用马歇尔福利损失，并展示了如何从普通需求计算希克斯无谓损失。基于法国食品工业21个部门的实际数据，发现马歇尔无谓损失无法准确近似希克斯测度，建议在应用福利分析中使用后者。
Abstract This paper warns against the use of Marshallian welfare loss in applied analysis of market power. We show how to compute the Hicksian deadweight loss from an ordinary demand. Then, from an experiment using real data on twenty‐one sectors of the French food industry, we find that the Marshallian deadweight loss poorly approximates the exact Hicksian measure. Hence, it is advisable to use the latter in applied welfare analysis.