The triangular area above the supply curve and below the market price is known as:
A) consumer surplus.
B) producer surplus.
C) oligopoly.
D) marginal revenue.
E) marginal cost.

Question

Quizplus · Accepted Answer

Producer surplus is the area above the supply curve and below the market price, representing the difference between what producers are willing to accept for a good or service versus what they actually receive.

The Triangular Area Above the Supply Curve and Below the Market