Consumer surplus is defined as
A)the value that the consumer places on a good over the amount they pay for it.
B)the money that the producer gets from a good over the amount they are willing to sell it for.
C)when quantity supplied is greater than quantity demanded.
D)when quantity demanded is greater than quantity supplied.

Question

Quizplus · Accepted Answer

Consumer surplus refers to the difference between the maximum amount that a consumer is willing to pay for a good or service and the actual price they pay for it. Therefore, A is the correct choice, as it defines consumer surplus accurately. B, C and D are incorrect because they do not accurately define consumer surplus.

Consumer Surplus Is Defined as