Consumer surplus is the difference between:
a. what the consumer is willing to pay and what the consumer must actually pay to receive a good or service.
b. the quantity of goods a consumer is willing to buy and the quantity of goods the consumer actually buys.
c. what the producer is willing to receive and what the consumer must actually pay to receive a good or service.
d. the quantity of goods a producer is willing to and the quantity of goods the consumer actually buys.
a
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A fixed exchange rate can be an equilibrium rate even if there is a permanent shift in the foreign exchange market supply and demand curves
a. True b. False Indicate whether the statement is true or false
Which statement is true?
A. Virtually all of the poor receive public assistance, but not food stamps. B. Virtually all of the poor receive food stamps, but not public assistance. C. Virtually all of the poor receive public assistance and food stamps. D. None of these statements are true.
As long as a public sector activity will generate benefits regardless of the costs, the activity should definitely be undertaken.
Answer the following statement true (T) or false (F)
Which of the following is a consequence of competition?
A. An unrelenting squeeze on prices and profit. B. Positive economic profit in the long run. C. Price-gouging behavior. D. Elimination of the most efficient firms.