Consumer surplus is
Answer and explanation
Correct answer: C. the difference between what consumers are willing to pay and what they actually pay
- Step 1: It measures the extra benefit that buyers receive above the price. Answer: the difference between what consumers are willing to pay and what they actually pay. Why not the others: the difference between price and cost of production: That is producer surplus or profit. the total revenue of firms: That is price times quantity. the quantity left unsold: That is excess supply.
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