When consumers would have been willing to pay higher prices at various quantities consumed than the market clearing price, the differences are called
A)consumer surplus.
B)monopoly profits.
C)opportunity cost.
D)deadweight loss.

Question

Quizplus · Accepted Answer

Consumer surplus refers to the difference between the highest price that a consumer is willing to pay for a good or service and the price they actually have to pay in the market. Therefore, when consumers are willing to pay higher prices than the market clearing price, the difference is their consumer surplus.

When Consumers Would Have Been Willing to Pay Higher Prices