The difference between the amount a seller receives for a good and the lowest amount for which he would sell the good is called
A) producers' surplus.
B) windfall gain.
C) consumers' surplus.
D) excess profit.

Question

Quizplus · Accepted Answer

The difference between the amount a seller receives for a good and the lowest amount for which he would sell the good is called producers' surplus. It represents the benefit that producers receive from selling a good at a price that is higher than their production cost, and is calculated as the difference between total revenue received and variable costs incurred by producers.

The Difference Between the Amount a Seller Receives for a Good