[Solved] The difference between the price the consumer is prepared to pay for a commodity and the price which he actually pays is called

McqMate

Q.	The difference between the price the consumer is prepared to pay for a commodity and the price which he actually pays is called
A.	Consumer's Surplus
B.	Producer's Surplus
C.	Landlord's Surplus
D.	Worker's Surplus
Answer» A. Consumer's Surplus
Explanation: Consumer surplus is the difference between the maximum price a consumer is willing to pay and the actual price they do pay. If a consumer would be willing to pay more than the current asking price, then they are getting more benefit from the purchased product than they spent to buy it.

1.3k

0

Do you find this helpful?

6

View all MCQs in

Discussion

No comments yet

Related MCQs

The excess of price a person is to pay rather than forego the consumption of the commodity is called -
If the change in demand for a commodity is at a faster rate than change in the price of the commodity, the demand is -
The relationship between price of a commodity and the demand for it -
The contract to pay a premium for which the insurer will pay compensation in certain happenings e.g., fire theft or motor accident is termed as:
A tax levied as a proportion of the retail price of a commodity at the point of sale is called:
The demand for which of the following commodity will not rise in spite of a fall in its price?
The equilibrium price of a commodity will definitely rise if there is a/an:
When percentage change in demand for a commodity is less than percentage change in its price, then demand is said to be -
When the price of a commodity falls, we can expect -
The price of a commodity is the same as