One can determine the consumers' surplus if the _______________ are known.
A) tax paid
B) maximum buying price
C) price paid
D) maximum buying price and price paid
E) maximum buying price and tax paid

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between the maximum amount a consumer is willing to pay for a good or service and the actual price paid. Therefore, in order to determine the consumer surplus, we need to know the maximum buying price (the maximum amount a consumer is willing to pay) and the price paid (the actual price the consumer paid).

One Can Determine the Consumers' Surplus If the _______________ Are