ONLINECO 

Chapter 7. Consumers, producers, and the efficiency of Markets.

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Welfare economics.

Consumer Surplus.

Willingness to pay.

Using the demand curve to measure consumer surplus.

How a lower price raises consumer surplus.

Producer surplus.

Cost and the willingness to sell.

Using the supply curve to measure producer surplus.

How a higher price raises producer surplus. Market efficiency.

The benevolent Social Planner