Voluntary exchanges generate:
A. surplus, leaving both participants better off than they were before.
B. deadweight loss, leaving both participants worse off than they were before.
C. deadweight loss, leaving at least one participant worse off than they were before.
D. a transfer of surplus from one participant to another.
A. surplus, leaving both participants better off than they were before.
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Indicate whether the statement is true or false
Consumer surplus
a. is the amount of a good that a consumer can buy at a price below equilibrium price. b. is the amount a consumer is willing to pay minus the amount the consumer actually pays. c. is the number of consumers who are excluded from a market because of scarcity. d. measures how much a seller values a good.