Suppose that a market is in equilibrium.The area between the market price and the supply curve is
A)the deadweight loss.
B)the value of trades not made.
C)consumer surplus.
D)total economic surplus.
E)producer surplus.

Question

Quizplus · Accepted Answer

The area between the market price and the supply curve represents the producer surplus, which is the difference between what producers are willing to accept for a good versus what they actually receive.

Suppose That a Market Is in Equilibrium