Ah, I took the “just” in “just a lower bound on lost surplus” as an indicator that it’s less important than other factors. And I lightly believe (meaning: for the cases I find most available, I believe it, but I don’t know how general it is) that the supply elasticity _is_ the more important effect of such distortions.
So I wanted to reinforce that I wasn’t ignoring that cost, only pointing out a greater cost.
I don’t think I was disagreeing?
Ah, I took the “just” in “just a lower bound on lost surplus” as an indicator that it’s less important than other factors. And I lightly believe (meaning: for the cases I find most available, I believe it, but I don’t know how general it is) that the supply elasticity _is_ the more important effect of such distortions.
So I wanted to reinforce that I wasn’t ignoring that cost, only pointing out a greater cost.