The above figure shows the U.S. market for wheat. When there is no international trade, consumer surplus is equal to ________.
A) area A + area B + area C
B) area A
C) area E + area F
D) area B + area C + area D
E) area A + area B + area C + area D
Question 2
The general rule for benefit maximization suggests that in personal equilibrium:
A) the ratio of total benefits to price should be identical across all goods.
B) the ratio of total benefits to income should be identical across all goods.
C) the ratio of marginal benefits to price should be identical across all goods.
D) the ratio of marginal benefits to income should be identical across all goods.
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