a. Explain the view that the best allocation of resources occurs whenconsumer surplusandproducer surplusare maximized.

Answers may include: . definitions of allocation of resources, consumer surplus, producer surplus . diagram to show consumer and producer surplus being maximized . explanation that resources are being used in the most efficient way when demand equals supply and the consumer surplus and producer surplus are maximized . examples of goods and services that ensure resources are allocated efficiently. Any market example is acceptable. Assessment Criteria