The benefit from a good or service that you purchase is measured by
A)how strong the incentives were that led to buying the good or service.
B)the dollar amount you can get by selling the good or service.
C)what you are willing to give up to obtain the good or service.
D)the dollar amount paid for the good or service.
E)None of the above answers is correct because there is no way to measure the benefit you receive from purchasing a good or service.

Question

Quizplus · Accepted Answer

The benefit from a good or service is measured by what you are willing to give up (in terms of opportunity cost) to obtain it. This is known as the consumer surplus. It represents the difference between the maximum price a consumer is willing to pay for a good or service and the actual price paid. Therefore, option C is the correct answer. The other options do not accurately measure the benefit received from a good or service.

The Benefit from a Good or Service That You Purchase