What is the reduction in economic surplus resulting from not being in competitive equilibrium?

Question

Quizplus · Accepted Answer

Deadweight loss is the reduction in economic surplus resulting from not being in competitive equilibrium. It refers to the loss of efficiency and welfare that occurs when the equilibrium price and quantity that maximizes total surplus is not achieved. This occurs when there are market failures such as monopolies, externalities or public goods, which create distortions in the market and prevent it from operating efficiently.

What Is the Reduction in Economic Surplus Resulting from Not