Which of the following is the definition of producer surplus?
A)the revenue received for a good,minus the cost of producing it
B)the price of a good minus the cost of producing it
C)quantity produced in excess of the allocatively efficient amount
D)the total revenue received by the producer for a good minus the total cost of producing that good
E)the price of a good minus the marginal cost of producing it,summed over the quantity produced

Question

Quizplus · Accepted Answer

Producer surplus is the difference between the price received for a good and the marginal cost of producing it, summed over the quantity produced.

Which of the Following Is the Definition of Producer Surplus