Consumer Surplus Is the Area

question 33

Multiple Choice

Consumer surplus is the area

• A) below the demand curve and above the price.
• B) above the supply curve and below the price.
• C) above the demand curve and below the price.
• D) below the supply curve and above the price.
• E) below the demand curve and above the supply curve.

---

Definitions:

Central Bank

The national financial institution that oversees the monetary system of a country, controlling interest rates and currency supply.

Scarce Supply

Refers to the condition where the availability of a particular good or resource is insufficient to meet the demands.

Market System

An economic system where prices and the distribution of goods and services are determined by competition in a free market.

Private Ownership

Refers to the goods or assets that are owned by individuals or corporations rather than by the government or the public.