Social surplus is the consumer surplus ________.
A) multiplied by the producer surplus
B) minus the producer surplus
C) divided by the producer surplus
D) plus the producer surplus

Question

Quizplus · Accepted Answer

Social surplus is the sum of consumer surplus and producer surplus. Therefore, it is calculated by adding the consumer surplus (the difference between the maximum price a consumer is willing to pay and the actual price paid) and the producer surplus (the difference between the minimum price a producer is willing to receive and the actual price received).

Social Surplus Is the Consumer Surplus ________