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What Is Producer Surplus, and How Is It Measured

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What is producer surplus, and how is it measured?


Definitions:

Hypotenuse

The side facing the right angle in a right-angled triangle, known for being the longest.

°

A symbol used to denote degrees in measures of angles, temperature, or quality.

Pythagorean Theorem

A theorem that states that the square of the sides of a right triangle are equal to the square of the hypotenuse.

Hypotenuse

In a right-angled triangle, the longest side, which sits opposite the right angle.

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