Suppose the price of a scooter is $200 and Zoe is willing to pay $250. Zoe's
A) consumer surplus from that scooter is $200.
B) marginal benefit from that scooter is $100.
C) consumer surplus from that scooter is $250.
D) consumer surplus from that scooter is $50.
E) consumer surplus from that scooter is $150.

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between what a consumer is willing to pay for a good and what the consumer actually pays. In this case, Zoe is willing to pay $250 but only has to pay $200, so her consumer surplus is $250 - $200 = $50.

Suppose the Price of a Scooter Is $200 and Zoe