Consumer Surplus

Producer Surplus: This term refers to the difference between what producers receive from selling a good or service and the minimum amount they are willing to accept. It represents the extra profit or benefit that producers gain.

Elasticity of Demand: This term measures how responsive consumers are to changes in price. If demand is elastic, small changes in price will result in larger changes in quantity demanded.

Price Ceiling: A price ceiling is a government-imposed limit on how high prices can be charged for certain goods or services. It is usually set below the equilibrium price, leading to shortages.