Jean places a high value on a loaf of bread with which to feed his family,but can only afford to pay $1.Val regularly pays $2 for a loaf of bread,but often the bread molds before Val can finish the loaf.Total economic surplus is maximized when

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Val valuing the bread at $2 is willing to pay more for the bread, indicating that the bread has a higher value to him. Moreover, Jean can use the $2 to purchase other goods of value to him, helping him maximize his overall economic surplus. Therefore, Val purchasing the bread is the best choice to maximize the total economic surplus.

Jean Places a High Value on a Loaf of Bread