Producer surplus is the
A) marginal cost of producing it summed over the quantity sold.
B) demand for a good minus the supply summed over the quantity sold.
C) price of a good minus the marginal cost of producing it summed over the quantity sold.
D) cost of the good summed over the quantity sold.

Question

Quizplus · Accepted Answer

Producer surplus is the difference between the price at which producers are willing to sell a good and the actual cost of production, summed over the quantity sold. This represents the extra benefit or surplus producers receive from selling the good at the market price, which is higher than their minimum acceptable price (the marginal cost of production).

Producer Surplus Is the