what is consumer surplus
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Consumer surplus is an economic measure of consumer benefit, which is calculated by analyzing the difference between what consumers are willing and able to pay for a good or service relative to its market price, or what they actually do spend on the good or service.
plz mark this as brinliest question
plz mark this as brinliest question
khanahmed:
U r copy from google
this is not good yrrrr
i don't understand
okkk
wt did u do then
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Consumer surplus is an economic measure of consumer benefit, which is calculated by analyzing the difference between what consumers are willing and able to pay for a good or service relative to its market price, or what they actually do spend on the good or service. A consumer surplus occurs when the consumer is willing to pay more for a given product than the current market price.
The concept of consumer surplus was developed in 1844 to measure the social benefits of public goods such as national highways, canals and bridges. It has been an important tool in the field of welfare economicsand in the formulation of tax policies by governments.
Consumer surplus is based on the economic theory of marginal utility, which states the price an individual is willing to spend on a particular good or service reflects the amount of utility he receives from that good or service. The utility a good or service provides varies from individual to individual based on his own personal preference. Economic law holds that the more a consumer has of a good the less he is willing to spend for more due to the diminishing merginal utility he receives.
The concept of consumer surplus was developed in 1844 to measure the social benefits of public goods such as national highways, canals and bridges. It has been an important tool in the field of welfare economicsand in the formulation of tax policies by governments.
Consumer surplus is based on the economic theory of marginal utility, which states the price an individual is willing to spend on a particular good or service reflects the amount of utility he receives from that good or service. The utility a good or service provides varies from individual to individual based on his own personal preference. Economic law holds that the more a consumer has of a good the less he is willing to spend for more due to the diminishing merginal utility he receives.
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