(Table: Marginal Benefit, Cost, and Consumer Surplus) The table Marginal Benefit, Cost, and Consumer Surplus shows six consumers' willingness to pay (his or her individual marginal benefit) for one iTunes download of a Jack Johnson song.If the marginal social cost is constant at $0, then the efficient price is ________ and consumer surplus is _.
A)$0; $37
B)$1; $36
C)$4; $33
D)$5; $32

Question

Quizplus · Accepted Answer

Since the marginal social cost is $0, the efficient price is $0. Consumer surplus is the sum of the willingness to pay of all consumers, which is $37.

(Table: Marginal Benefit, Cost, and Consumer Surplus) the Table Marginal