In economics, what a consumer is ready to pay minus what he actually pays, is termed as?

LohaHridoy
  1. Consumer's equilibrium
  2. Consumer's surplus
  3. Consumer's expenditure
  4. None of the above

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Answer: Option 2

In economics, what a consumer is ready to pay minus what he actually pays, is termed as Consumer's surplus. Consumer surplus is defined as the difference between the consumers' willingness to pay for a commodity and the actual price paid by them, or the equilibrium price.

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