Consumer surplus tends to be higher when demand is

Akoredejimoh

2 years ago

pls review your answer.The answer is A

imafinegyal

1 year ago

Let’s break it down, sassy-style ‍♀️:

Consumer surplus is the difference between what a consumer is willing to pay vs. what they actually do pay.

Now when demand is elastic, it means consumers are super responsive to price changes—they love a bargain . So if the price drops just a little, they buy way more, and many of them were willing to pay more than the new lower price. That extra joy they get from paying less than they were ready to pay? That’s your consumer surplus, baby!

Quick tea on the other options:
A. Inelastic – They buy about the same no matter the price, so surplus doesn’t really pop off.

B. Perfectly elastic – Everyone pays the exact same price or buys nothing = no surplus.

D. Unitarily elastic – Surplus is kinda stable, but not high.

So yup, when demand is elastic, consumer surplus is giving generous .

hel_yna

3 years ago

the answer is definitely A

AndyWMD

4 years ago

my school what is this?

olohideba

2 years ago

Consumer Surplus tends to rise when demand becomes inelastic because the demand remains unaffected by the change in the price of the commodity; hence, the consumer is willing to pay a higher price for the same commodity.

kariskaris

4 years ago

inelastic A