When a buyer's willingness to pay for a good is equal to the price of the...
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When a buyer's willingness to pay for a good is equal to the price of the good, the buyer's consumer surplus for that good is maximized. buyer will buy as much of the good as the buyer's budget allows. price of the good exceeds the value that the buyer places on the good. buyer is indifferent between buying the good and not buying it. When a buyer's willingness to pay for a good is equal to the price of the good, the buyer's consumer surplus for that good is maximized. buyer will buy as much of the good as the buyer's budget allows. price of the good exceeds the value that the buyer places on the good. buyer is indifferent between buying the good and not buying it.
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Related Book For
Microeconomics An Intuitive Approach with Calculus
ISBN: 978-0538453257
1st edition
Authors: Thomas Nechyba
Posted Date:
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