Which of the following statements best describes the concept of consumer surplus?

Question

Quizplus · Accepted Answer

Consumer surplus refers to the difference between what a consumer is willing to pay for a product or service and the actual price they pay. Option B describes a situation where the consumer is willing to pay $300 for a leather jacket, but ends up paying only $180, resulting in a consumer surplus of $120. Option A refers to a sale where the consumer paid a lower price, but we do not know if they were willing to pay more. Option C refers to a situation where the consumer paid more for a product than a later sale price, resulting in no consumer surplus. Option D refers to a situation where the seller received more than they were willing to accept for a product, so it is not directly related to consumer surplus.

Which of the Following Statements Best Describes the Concept of Consumer