Consider a good that you do not like at all, perhaps turnips. Given the market price for turnips, what would be your consumer surplus?
What will be an ideal response?
Your consumer surplus will be zero. If you do not like turnips your willingness to pay will be zero. Therefore your willingness to pay will always be less than price and so you will never buy turnips. If you do not buy turnips your consumer surplus must be zero.
Economics
You might also like to view...
What do structural reform policies emphasize?
What will be an ideal response?
Economics
Financial deregulation and innovation since the late 1970s has made spending, especially new housing, ________ sensitive to changes in the market interest rate, leading to a ________ IS curve
A) more, steeper B) more, flatter C) less, steeper D) less, flatter
Economics