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consumer surplus of the "last person"

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In a competitive market, all consumes pay the same price (equilibrium price) for the goods. Using the concept of consumer surplus, explain why each individual would be willing to pay a higher price and what does this mean regarding the consumer surplus of the "last person" shown on the demand curve.

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Consumer surplus of the "last person" shown on the demand curve.

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The price of goods in a free market is that price which equalizes market supply with market demand. If only one unit of a good is available in a market. That first unit could be sold at a high price, as dictated by ...

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