Final answer:
An economist would use the term 'consumer surplus' to describe what happens when a shopper gets a 'good deal' on a product, meaning they paid less than what they were willing to pay, gaining extra value from the purchase.
Step-by-step explanation:
Understanding Consumer Surplus in Economics
When a shopper gets a "good deal" on a product, it means that they have managed to purchase the product for less than what they were willing to pay for it.
An economist would describe this situation as the shopper experiencing a consumer surplus. A consumer surplus occurs when the price a consumer actually pays is lower than the price they are prepared to pay, essentially providing them with extra value or benefit from the transaction.
For example, if Jason finds a sweater priced at $50, but he values it at $70 and would be willing to pay that much, when he purchases the sweater at $50, he gains a consumer surplus of $20. This concept helps to analyze how much benefit shoppers are getting from their purchases relative to their personal valuation of the products.
The complete question is: Jason purchased a sweater from a local men's apparel retailer: True/ False The price he paid was the: is: