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What is the area under the demand curve above the equilibrium price of a good called?

User Andrew Fox
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Final answer:

Consumer surplus is the area under the demand curve above the equilibrium price of a good.

Step-by-step explanation:

The area under the demand curve above the equilibrium price of a good is called consumer surplus. It represents the benefit that consumers receive from purchasing the good at a price lower than they were willing to pay. Consumer surplus can be calculated by finding the difference between what consumers were willing to pay for a certain quantity and the price they actually paid.

User LiamB
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