The difference between a firm's production costs and the value consumers perceive in its products is called .

The amount of value created

Explanation:

Value creation occurs when a firm perform actions that lead to a rise in the worth or value of the product its produces or the service its renders.

The aim of any business is to create value that give better value to customers in order entice them to buy its commodity at a better price. As a result, the more value a firm creates, the wider will be the difference between the production cost of the firm and the value placed on the products of the firm. This will in turn make the buyers to buy the product of the firm at a higher price which will lead to a higher profitability of the firm.

The implication is that the best method for a firm to increase its profitability is to create more value.

Therefore, the difference between a firm's production costs and the value consumers perceive in its products is called the amount of value created.

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.