The consumer surplus derived from the last unit of a good purchased _____
A)tends to be less than zero.
B)tends to be equal to zero.
C)tends to equal the price of the good.
D)tends to be greater than the price of the good.
E)tends to be greater than the marginal utility of the first unit purchased.

Question

Quizplus · Accepted Answer

The consumer surplus derived from the last unit of a good purchased tends to be equal to zero because the consumer is willing to pay exactly what that last unit is worth to them, equating the price of the good with its perceived value.

The Consumer Surplus Derived from the Last Unit of a Good