How to use this calculator
- Enter per-unit tax or price wedge, quantity before wedge, quantity after wedge.
- Choose a display currency, then select Calculate. Results also update after a brief pause while you edit.
- Read the result with the assumptions below. Export details or save a second scenario to compare your choices.
Formula and method
DWL≈½×per-unit wedge×quantity reduction.
Assumptions and limitations
No externalities, market power, tax administration or income effects; quantities are supplied assumptions.
Worked example
With per-unit tax or price wedge = 10, quantity before wedge = 1000, quantity after wedge = 800, linear deadweight loss is approximately 1000.
What the result means
Estimate a triangular efficiency-loss area under a simple linear-market model.
Common questions
How should I interpret linear deadweight loss?
Estimate a triangular efficiency-loss area under a simple linear-market model.
What should I check before using this result?
No externalities, market power, tax administration or income effects; quantities are supplied assumptions.
Methodology and transparency
Calculation specification reviewed on 2026-10-14. Mathematical implementation is tested against independent reference fixtures. This does not imply review by a licensed financial professional. Read the testing and precision policy.