--%>

Consumer Surplus-Difference in amounts

Kiley pays $1.00 for the cold Pepsi on a hot afternoon, however would be willing to pay $5.00. The $4.00 difference in such amounts is her: (i) Consumer surplus. (ii) Income effect. (iii) Economic gain. (iv) Marginal utility. (v) Pleasure coefficient.

Can someone please help me in finding out the accurate answer from the above options.

   Related Questions in Microeconomics

  • Q : Level of guaranteed transfer payments

    For identical level of guaranteed transfer payments, the earn income and incentive to work is probable to be: (w) greater with a negative income tax than with transfers in kind. (x) greater with transfers in kind than

  • Q : Example of predatory behavior Assume

    Assume that a new Wal-Mart is built just outside a small town, and also Wal-Mart aggressively cuts prices therefore much that the rivals close their doors. In that case, once its rivals exit the market, the Wal-Mart raises prices significantly. Wal-Ma

  • Q : Changes in price and supply of market

    Assume that a main oil spill occurred off the Alaskan coast within the waters where many wild salmon Americans eat is caught. So, what will occur to the price and supply of salmon within the US? (w) no change  (x) supply = fall, price = rise 

  • Q : Change in total revenue by selling

    Marginal revenue, which is: (w) the change in total revenue from selling an additional unit of output. (x) the change in total revenue from hiring an additional unit of labor. (y) computed as TR/Q. (z) specified by change in Q / change in TR.

  • Q : Demand curve for software upgradation

    Microsoft charges a substantially lower price for a software upgrade than for the initial purchase of the software. This implies that Microsoft views the demand curve for the software upgrade to be: A) more elastic than the demand for the original software. B) upslop

  • Q : Most likely resources in short run I

    I have a problem in economics on most likely resources in short run. Please help me in the following question. The most probable of the given resources to be fixed for the farmer in short run would be: (1) Land. (2) Labor. (3) Fertilizer. (4) All the above would be of

  • Q : Cross price elasticities of demand The

    The cross price elasticities of demand are possibly most positive for: (w) shoe repairs and new shoes. (x) syrup and waffles. (y) gasoline and limousines. (z) college tuitions and textbooks. How can I solve my

  • Q : Least likely example of Substitution

    Can someone please help me in finding out the accurate answer from the following question. Assume that the War in Iraq spilled over into another oil exporting countries. When U.S. gasoline prices rose to, state, $10 per gallon, the least likely outcome would be that:

  • Q : Supply of bonds for demand for loanable

    An increase in the supply of bonds tends to: (1) reduce the interest rate. (2) occur simultaneously with an increase in the demand for loanable funds. (3) yield an increase gross investment but a decrease in net investment. (4) drive up the prices of

  • Q : Monopolistic competition in the long

    This figure demonstrates a: (w) long run equilibrium for a firm in a perfectly competitive industry. (x) short run equilibrium for a natural monopoly. (y) short run circumstances for a monopolistically-competitive firm into long run equilibrium. (z) cartel which maxim