Fred is willing to pay $5 for his first slice of pizza and $4 for his second slice of pizza. If the price is $3, and Joe buys two slices of pizza, he receives a total consumer surplus of A) $4. B) $2. C) $7. D) $3

D) $3

Explanation:

Consumer Surplus refers to the difference between the actual price paid by a consumer and the price the consumer was willing to pay. Surplus arises in cases wherein the price consumer was willing to pay exceeds the price he actually paid.

In the given case, the consumer was willing to pay a total of $9 i.e ($5 + $4) for 2 units of pizza. He actually ended up paying $6 i.e ($3 × 2 slices).

Thus, his total consumer surplus can be calculated as $9 - $6 = $3  

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.

a

explanation:

i know