-The above figure shows Dana's marginal benefit curve for ice cream. If the price of ice cream is $2 per gallon, then Dana's consumer surplus from the 4th gallon
A) is greater than her consumer surplus from the 8th gallon.
B) is the same as her consumer surplus from the 8th gallon.
C) is less than her consumer surplus from the 8th gallon.
D) could be greater than, equal to, or less than the consumer surplus from the 8th gallon.

Question

-The above figure shows Dana's marginal benefit curve for ice cream. If the price of ice cream is $2 per gallon, then Dana's consumer surplus from the 4th gallon
A) is greater than her consumer surplus from the 8th gallon. 
B) is the same as her consumer surplus from the 8th gallon. 
C) is less than her consumer surplus from the 8th gallon. 
D) could be greater than, equal to, or less than the consumer surplus from the 8th gallon.

Quizplus · Accepted Answer

Dana's consumer surplus from the 4th gallon is greater than from the 8th gallon because the marginal benefit typically decreases with each additional unit consumed, meaning the surplus from earlier units is higher.

-The Above Figure Shows Dana's Marginal Benefit Curve for Ice