Consumer Surplus Quiz

<p>The net gain to a seller from selling a good</p> Signup and view all the answers

<p>The sum of the individual producer surpluses of all the sellers of a good</p> Signup and view all the answers

<p>It increases producer surplus through gains of those who would have supplied the good even at the original, lower price and...</p> Signup and view all the answers

<p>The sum of the producer and the consumer surplus</p> Signup and view all the answers

<p>There are gains from trade</p> Signup and view all the answers

<p>Allocates consumption of the good to potential buyers who value it the most</p> Signup and view all the answers

<p>Rights of owners of valuable items to dispose of those items as they choose</p> Signup and view all the answers

<p>Pieces of information that help people make better economic decisions</p> Signup and view all the answers

<p>Gains from trade</p> Signup and view all the answers

<p>To increase equity even though it reduces efficiency</p> Signup and view all the answers

<p>Property rights</p> Signup and view all the answers

<p>The sum of the producer and the consumer surplus</p> Signup and view all the answers

<p>The rights of owners to dispose of valuable items as they choose</p> Signup and view all the answers

<p>Any piece of information that helps people make better economic decisions</p> Signup and view all the answers

<p>To increase equity, even though it reduces efficiency</p> Signup and view all the answers

<p>By allocating consumption of the good to potential buyers who value it the most and allocating sales to potential sellers who most value the right to sell the good.</p> Signup and view all the answers

<p>Market power, externalities, information asymmetry, and public goods.</p> Signup and view all the answers

<p>The difference between what a consumer is willing to pay for a good and what they actually pay</p> Signup and view all the answers

<p>Property rights and the role of prices as economic signals</p> Signup and view all the answers

<p>It ensures that every consumer who makes a purchase values the good more than every seller who makes a sale, so that all transactions are mutually beneficial.</p> Signup and view all the answers

<p>Property rights, economic signals, market equilibrium.</p> Signup and view all the answers

<p>The difference between what a producer receives for a good and the minimum amount they are willing to accept</p> Signup and view all the answers

<p>The difference between market price and what consumers would be willing to pay</p> Signup and view all the answers

<p>By summing the individual consumer surpluses of all buyers of a good</p> Signup and view all the answers

<p>The net gain to a seller from selling a good</p> Signup and view all the answers

<p>By summing the individual producer surpluses of all sellers of a good</p> Signup and view all the answers

<p>It increases consumer surplus through gains to consumers who would have bought at the original price and those who are persuaded to buy by the lower price</p> Signup and view all the answers

<p>It increases producer surplus through gains of those who would have supplied the good even at the original, lower price and...</p> Signup and view all the answers

<p>The maximum amount a buyer is willing to pay for that good.</p> Signup and view all the answers

<p>The lowest price at which he or she is willing to sell a good.</p> Signup and view all the answers

<p>The sum of individual consumer surpluses of all buyers of a good.</p> Signup and view all the answers

<p>Producer surplus increases through gains of those who would have supplied the good even at the original, lower price.</p> Signup and view all the answers

<p>The difference between market price and what consumers would be willing to pay</p> Signup and view all the answers

<p>By summing the individual consumer surpluses of all the buyers of a good</p> Signup and view all the answers

<p>The net gain to a seller from selling a good</p> Signup and view all the answers

<p>By summing the individual producer surpluses of all the sellers of a good</p> Signup and view all the answers

<p>Producer surplus increases through gains to those who would have supplied the good even at the original, lower price and gains to new suppliers</p> Signup and view all the answers

<p>Total producer surplus increases as the price of the good rises</p> Signup and view all the answers

<p>The total net gain to consumers and producers from trading in the market</p> Signup and view all the answers

<p>Total surplus</p> Signup and view all the answers

<p>Property rights and economic signals</p> Signup and view all the answers

<p>Any piece of information that helps people make better economic decisions</p> Signup and view all the answers

<p>To increase equity, even though it reduces efficiency</p> Signup and view all the answers

<p>The gains from trade</p> Signup and view all the answers

<p>The rights of owners of valuable items to dispose of those items as they choose</p> Signup and view all the answers

<p>It ensures that every potential buyer who doesn't make a purchase values the good less than every potential seller who doesn't make a sale</p> Signup and view all the answers

<p>There are gains from trade</p> Signup and view all the answers

<p>The total net gain to consumers and producers from trading in the market</p> Signup and view all the answers

<p>Any piece of information that helps people make better economic decisions</p> Signup and view all the answers

<p>By ensuring that every consumer who makes a purchase values the good more than every seller who makes a sale</p> Signup and view all the answers

<p>Rights of owners of valuable items to dispose of those items as they choose</p> Signup and view all the answers

<p>To increase equity even though it may reduce efficiency</p> Signup and view all the answers

<p>The difference between what consumers are willing to pay for a good and what they actually pay</p> Signup and view all the answers

<p>The difference between what producers are willing to sell a good for and what they actually receive</p> Signup and view all the answers

<p>The maximum price a consumer is willing to pay for a unit of a good or service</p> Signup and view all the answers

<p>Market power, externalities, information asymmetry, and public goods</p> Signup and view all the answers

<p>Property rights and prices as economic signals</p> Signup and view all the answers

<p>Total surplus by allocating consumption and sales efficiently</p> Signup and view all the answers

<p>The difference between market price and what consumers would be willing to pay</p> Signup and view all the answers

<p>By summing the individual consumer surpluses of all the buyers of a good</p> Signup and view all the answers

<p>The net gain to a seller from selling a good</p> Signup and view all the answers

<p>Producer surplus increases through two channels</p> Signup and view all the answers

<p>The sum of individual producer surpluses of all the sellers of a good</p> Signup and view all the answers

<p>Consumer surplus increases through two channels</p> Signup and view all the answers

<p>The sum of individual consumer surpluses of all the buyers of a good and individual producer surpluses of all the sellers of that good</p> Signup and view all the answers

<p>The maximum price at which consumers would buy that good and sellers are willing to sell it</p> Signup and view all the answers

<p>Property rights, well-defined rules, enforcement mechanisms, and low transaction costs.</p> Signup and view all the answers

<p>By ensuring that supply equals demand so that there is no excess supply or excess demand.</p> Signup and view all the answers