If you are willing to pay no more than $4 for a slice of pizza and the price of a slice of pizza is $4,then
A) if you buy it, you would be cheated because you would realize no total benefit from the purchase.
B) you buy it but you get no marginal benefit from the purchase.
C) you will not buy it.
D) you buy it but you get no consumer surplus from the purchase.
E) you might buy it depending on how the slice's marginal benefit compares to its price.

Question

Quizplus · Accepted Answer

When you are willing to pay exactly the price of the item, you receive the item but do not gain any additional value or consumer surplus from the transaction. Consumer surplus occurs when the price a consumer is willing to pay for a good exceeds the price they actually pay. In this scenario, since the willingness to pay matches the price, there is no surplus.

If You Are Willing to Pay No More Than $4