Which best describes consumer surplus

The difference between the price a consumer pays for an item and the price he/she is willing to pay for it

The price consumers are willing to pay for a unit

Community surplus equals:

Consumer surplus plus producer surplus

Producer surplus minus consumer surplus

The difference between the amount the producer is willing to supply goods for and the actual amount received by him when he makes the trade.

Loss of cost of production by producers

Quiz

Abdelmuizz Yusuf 9 questions

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1Which best describes consumer surplus
1. AThe price consumers are willing to pay for a unit
2. BThe cost of providing a unit
3. CProfits made by a firm
4. DThe difference between the price a consumer pays for an item and the price he/she is willing to pay for it
2Community surplus equals:
1. AProducer surplus minus consumer surplus
2. BProfits plus utility
3. CTotal utility minus profits
4. DConsumer surplus plus producer surplus
3What best describes producer surplus
1. AThe difference between the amount the producer is willing to supply goods for and the actual amount received by him when he makes the trade.
2. BProfit made by producers
3. CLoss of cost of production by producers
4. DAll of the above
4Identify the producer surplus
1. AD
2. BC
3. CA
4. DB
5Identify consumer surplus
1. AD
2. BA
3. CC
4. DB
6Identify total societal welfare
1. AA+C
2. BB+D
3. CA+B
4. DD+C
7What is the producer surplus at equilibrium price
1. A15
2. B10
3. C25
4. DNone of the above
8What is the consumer surplus at the equilibrium price
1. A10
2. B15
3. C25
4. DNone of the above
9Calculate the total societal welfare at equilibrium price
1. A10
2. B15
3. C25
4. DNone of the above