Compensating variation
id:
compensating-variation-313-14165977
title:
Compensating variation
text:
In economics, compensating variation (CV) is a measure of utility change introduced by John Hicks (1939). 'Compensating variation' refers to the amount of additional money an agent would need to reach their initial utility after a change in prices, a change in product quality, or the introduction of new products. Compensating variation can be used to find the effect of a price change on an agent's net welfare. CV reflects new prices and the old utility level. It is often written using an expendi
brand slug:
wiki
category slug:
encyclopedia
description:
Economic measure of utility change
original url:
https://en.wikipedia.org/wiki/Compensating_variation
date created:
date modified:
2024-01-02T06:05:11Z
main entity:
{"identifier":"Q649792","url":"https://www.wikidata.org/entity/Q649792"}
image:
fields total:
13
integrity:
14