The maximum price that a buyer will pay for a good is called the
A) cost.
B) willingness to pay.
C) equity.
D) efficiency.

Question

Quizplus · Accepted Answer

The maximum price that a buyer is willing to pay for a good is called the willingness to pay. This is because it represents the highest amount that the buyer is willing to spend on the good, which is determined by factors such as their income, preferences, and the availability of substitutes. The other answer options are not correct, as they do not accurately describe the maximum price that a buyer is willing to pay for a good.

The Maximum Price That a Buyer Will Pay for a Good