Consumer Surplus Is ________

question 22

Multiple Choice

Consumer surplus is ________.

• A) the difference between the willingness to pay for a good and the price paid for the good
• B) the sum of the willingness to pay for a good and the price paid for the good
• C) the product of the willingness to pay for a good and the price paid for the good
• D) the ratio of the willingness to pay for a good to the price paid for the good

---

Definitions:

Diverse Customer Base

A clientele composed of individuals from various demographic, geographic, and cultural backgrounds, reflecting a broad spectrum of preferences and needs.

Greater Competition

An increase in the number of competitors in a market, which can lead to improvements in quality, innovation, and pricing for consumers.

Outside Distractions

External factors or stimuli that divert attention away from a focal task or goal.

Profit Margins

The percentage of revenue that remains as profit after all expenses have been subtracted.