Ideally, a market should maximize:
A) consumer surplus.
B) producer surplus.
C) consumer surplus plus producer surplus.
D) social surplus.

Question

Quizplus · Accepted Answer

A market should ideally maximize social surplus, which is the sum of consumer and producer surplus. This takes into account the benefits to both consumers and producers in terms of the value they derive from the market transaction. Maximizing social surplus leads to the most efficient allocation of resources and promotes overall economic welfare.

Ideally, a Market Should Maximize