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19 June, 08:15

You go to the grocery store to buy a gallon of milk, expecting to pay $4.50 for it. Once you get there, you discover it is on sale for $2.50. The extra $2 that you saved on the $4.50 you were willing to pay for it represents A. Consumer surplus B. productive Efficiency C. Allocative efficiency D. Producer surplus

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  1. 19 June, 08:38
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    A.

    Consumer surplus is the benefit consumers enjoy from consuming a product, and is measured by the difference between what they would normally pay (expecting to pay) and what they actually pay. Thusly, the 2 dollar difference is your consumer surplus.
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Home » Business » You go to the grocery store to buy a gallon of milk, expecting to pay $4.50 for it. Once you get there, you discover it is on sale for $2.50. The extra $2 that you saved on the $4.50 you were willing to pay for it represents A. Consumer surplus B.
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