Question

When the efficient quantity is produced​ _______. A. producer surplus is maximized B. consumer surplus is maximized C. buyers and sellers acting in their​ self-interest do not promote the social interest D. total surplus is maximized

Answer 1

The correct answer is letter B

Consumer surplus is therefore a measure of economic well-being, and the higher its value, the greater the benefit to consumers in that market. We will thus have that the producer surplus is equivalent to the area of ​​the polygon determined by the supply curve and a certain marketing price.

Consumer surplus is one component of the economic surplus, a concept that gained popularity with the English economist Alfred Marshall.