The benefit to buyers of participating in a market is measured by
A)the price elasticity of demand.
B)consumer surplus.
C)the maximum amount that buyers are willing to pay for the good.
D)the equilibrium price.

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between the maximum amount a buyer is willing to pay for a good and the actual price they pay. Therefore, it measures the benefit that buyers receive from participating in a market. Options A, C, and D are related to different aspects of market dynamics but do not directly measure the benefit to buyers of participating in a market.

The Benefit to Buyers of Participating in a Market Is