Examlex
Which of the following is true of the motor homunculus?
Consumer Surplus
The gap between what consumers are prepared and can afford to pay for a product or service, and what they end up paying in reality.
Producer Surplus
The difference between the amount producers are willing to accept for a good versus what they actually receive.
Marginal Benefit
Marginal benefit is the additional satisfaction or utility received by consuming one more unit of a good or service.
Marginal Cost
The cost attached to the production of one additional unit of a good or service.
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