Value of a product
The maximum price that consumers are willing to pay.
Price of a product
The actual price that consumers pay.
Consumer Surplus
Consumer surplus represents the difference between what a consumer is willing to pay and the actual price paid.
Demand Curve
Consumers will continue to buy units of the good as long as the marginal benefit (expressed by maximum willingness to pay) exceeds the price.
When MB = P, consumer surplus = 0 and the mariginal benefit curve is equal to the demand curve of the good.
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