Consumer Surplus
It is the difference between the price consumer is willing to pay and consumer actually pays.
When demand is inelastic there is a greater chances of consumer surplus as there are some consumers who will pay high price to continue consuming the product.
A fall in market price of any product leads to an increase in demand which leads to consumer surplus.
Producer Surplus
It is the difference between the price producer is willing to sell and the price at which the goods are sold.
When a price of any product increases it will increase the producer surplus and vice versa.
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