Graphically, if the supply and demand curves are linear, consumer surplus is measured as the triangle Multiple Choice above the supply curve and below the actual price. above the supply curve and above the actual price. under the demand curve and above the actual price. under the demand curve and below the actual price.

Question

Irvin Burgess

Business

5 August, 11:43

Graphically, if the supply and demand curves are linear, consumer surplus is measured as the triangle Multiple Choice above the supply curve and below the actual price. above the supply curve and above the actual price. under the demand curve and above the actual price. under the demand curve and below the actual price.

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Answers (1)

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Kiara Keith · Answer 1

above the supply curve and above the actual price.

Explanation:

Consumer surplus measures the benefit that consumers obtain when they pay for a good less than the price the would be willing to pay anyway.

In a supply and demand graph, it is represented by the triangle that is above the supply curve, and the actual price.

The triange that is below it, that is to say, above the supply curve, but below the actual price, is the producer surplus instead.