Define individual consumer and total producer surplus, Macroeconomics

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Define the individual consumer surplus and total producer surplus.

Individual consumer:

Individual consumer surplus is the net profit to an individual buyer through the purchase of a good. This is equal to the dissimilarity between the buyer’s willingness to pay and the price paid.

Total producer surplus:

Total producer surplus into a market is the net of the individual producer surpluses of each the sellers of a good.


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