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16 January, 07:33

Suppose that a consumer's total benefit is $4 for consuming one cup of ice cream and $7 for consuming two cups of ice cream. the consumer's willingness to pay for the second cup of ice cream is

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  1. 16 January, 10:38
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    Consumers total benefit for consume one cup = $4

    and $7 for second cup of ice cream

    how much consumer will pay for second cup = ? = x

    x = consumer money for second cup - consumer money for first cup

    x = $7 - $4

    x = $3

    so, consumer's willingness to pay for the second cup of ice cream is $3.
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