Asked by Sincerely, Belle on Jun 20, 2024
Verified
The total of consumer plus producer surplus is largest at the market equilibrium.
Market Equilibrium
The state in which the supply and demand for a good or service are balanced, leading to a stable price.
- Gain insight into the idea and outcomes of market equilibrium in maximizing the total surplus.
Verified Answer
ID
Irene DepacinaJun 26, 2024
Final Answer :
True
Explanation :
At market equilibrium, the quantity supplied equals the quantity demanded, maximizing the combined benefit to consumers and producers, known as the total surplus.
Learning Objectives
- Gain insight into the idea and outcomes of market equilibrium in maximizing the total surplus.