Suppose the price of a scooter is $200 and Cora Lee is willing to pay $250.Cora Lee's
A) consumer surplus from that scooter is $200.
B) consumer surplus from that scooter is $50.
C) marginal benefit from that scooter is $100.
D) consumer surplus from that scooter is $150.
E) consumer surplus from that scooter is $250.

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between what a consumer is willing to pay and what they actually pay. Cora Lee is willing to pay $250 but pays $200, so her consumer surplus is $250 - $200 = $50.

Suppose the Price of a Scooter Is $200 and Cora