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The Size of the Zone of Agreement Measures

Question 32

Multiple Choice

The size of the zone of agreement measures:


A) the difference between the buyer's marginal benefit and the price.
B) the average of the trading parties' walk-away prices.
C) the difference between the seller's marginal cost and the price.
D) the difference between the buyer's and seller's walk-away values.
E) the excess of producer's surplus over consumer's surplus.

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