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Suppose the price of a TV is $600 and there are two consumers in the TV market. Joe is willing to pay $700, and Isaac is willing to pay $550. How much consumer surplus exists in this market

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abiolataiwo2015

If Joe is willing to pay $700, and Isaac is willing to pay $550. The consumer surplus that  exists in this market is: $100.

Consumer surplus

Using this formula

Consumer surplus=Amount Joe is willing to pay-Price of TV

Let plug in the formula

Consumer surplus=$700-$600

Consumer surplus=$100

Therefore the consumer surplus that  exists in this market is: $100.

Learn more about  consumer surplus here:https://brainly.com/question/14753335

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