question which of the following best defines consumer surplus? select the correct answer below: it is the…

question which of the following best defines consumer surplus? select the correct answer below: it is the fall in total surplus that occurs when the economy produces at an inefficient quantity. it is the minimum price one is able to charge for a good or service and remain open in the short - run. it is the gap between the price for which producers are willing to sell a product, based on their costs, and the market equilibrium. it is the gap between the price consumers are willing to pay, based on their preferences, and the market equilibrium price.

question which of the following best defines consumer surplus? select the correct answer below: it is the fall in total surplus that occurs when the economy produces at an inefficient quantity. it is the minimum price one is able to charge for a good or service and remain open in the short - run. it is the gap between the price for which producers are willing to sell a product, based on their costs, and the market equilibrium. it is the gap between the price consumers are willing to pay, based on their preferences, and the market equilibrium price.

Answer

Brief Explanations:

Consumer surplus is defined as the difference between the maximum price a consumer is willing to pay (based on their preferences) and the actual market - equilibrium price they pay. The first option describes dead - weight loss. The second option is related to the shutdown point for a firm. The third option describes producer surplus.

Answer:

It is the gap between the price consumers are willing to pay, based on their preferences, and the market equilibrium price.