If the maximum price a person is willing and able to pay for a good is $50, and consumers' surplus is $20, then it follows that the price the buyer paid for the good is
A)$20
B)$70
C)$50
D)$30

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between the maximum price a person is willing to pay and the price they actually pay. If the consumer surplus is $20 and the maximum price is $50, then the price paid is $50 - $20 = $30.

If the Maximum Price a Person Is Willing and Able