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A-Level Economics · Consumer & producer surplus diagram question

George Chantry, professional A-Level Economics tutor

Which area is CONSUMER surplus?

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The diagram

Consumer & producer surplus diagram for A-Level Economics on a labelled grid, every point lettered

The answer

The triangle A B E. Below demand, above the price paid: value received minus money handed over. CS = what consumers were WILLING to pay (under D) minus what they DID pay (£5) — area ABE, above the price line, below demand.

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This is one of 3 questions on the consumer & producer surplus diagram — every corner lettered, every wrong answer diagnosed.

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