Legal Definition of misnomer. : the misnaming of a person in a legal document or proceeding (as in a complaint or indictment); specifically : the institution of proceedings against and service of process on the correct party using the incorrect name â compare idem sonans.
Definition of 'Producer Surplus' Definition: Producer surplus is defined as the difference between the amount the producer is willing to supply goods for and the actual amount received by him when he makes the trade. Producer surplus is a measure of producer welfare. It is shown graphically as the area above the supply curve and below the equilibrium price. Here the producer surplus is shown in gray. As the price increases, the incentive for producing more goods increases, thereby increasing the producer surplus. Description: A producer always tries to increase his producer surplus by trying to sell more and more at higher prices.
Consumer and producer surplus. Many times, the equilibrium price is lower than the highest price some folks are willing to pay. For all consumers, this is called consumer surplus.Similarly, the price might be higher than the minimum price at which some are willing to produce. For all the producers, this is called producer surplus. This tutorial covers them both with an emphasis on the visual.or all consumers, this is called consumer surplus. Similarly, the price might be higher than the minimum price at which some are willing to produce. For all the producers, this is called producer surplus.