Quantitative Analysis of Price Ceilings and Price Floors: Finding Areas

5. Consumer and Producer Surplus; Price Ceilings and Floors / Quantitative Analysis of Price Ceilings and Price Floors: Finding Areas / Problem 10

Problem 10

What is consumer surplus?

The total revenue received by producers.

The difference between the equilibrium price and the price floor.

The area below the supply curve and above the price.

The difference between what consumers are willing to pay and what they actually pay.