Total economic surplus is
A) the ratio of consumer surplus to producer surplus.
B) the difference between consumer surplus and producer surplus.
C) the difference between tax revenue and government expenditure.
D) the sum of consumer surplus and producer surplus.
E) minimized at the point of market equilibrium.

Question

Quizplus · Accepted Answer

Total economic surplus is the sum of consumer surplus and producer surplus in a market. It represents the total benefit that consumers and producers receive from participating in a market transaction. Therefore, option D is the correct answer.

Total Economic Surplus Is