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Consumer surplus exists when a A. person buys something with a marginal benefit more than what they paid. B. producer sells something for more than it is worth. C. person buys something with a marginal benefit exactly what they paid. D. person buys something with a marginal benefit less than what they paid. E. person buys something with a marginal cost less than what they paid.

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eooyibo123

Answer:

A. person buys something with a marginal benefit more than what they paid.

Explanation:

Consumer surplus occurs when the price a consumer is willing to pay for a product is higher than the market price. For example if a customer is willing to pay $10 for a book, but the sale price is $8 the consumer surplus is $2.

Since the consumer perceives he paid less than the value of the good, the marginal benefit he enjoys is more than the price paid.

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