The difference between the willingness to pay for a good and the amount that is paid to get it is also known as
A) consumer expenditure.
B) surplus spending.
C) consumer benefit.
D) producer profit.
E) consumer surplus.

Question

Quizplus · Accepted Answer

The difference between the willingness to pay and the actual price paid is known as consumer surplus. It represents the extra benefit that consumers receive from a good or service that they would have been willing to pay more for.

The Difference Between the Willingness to Pay for a Good