Consumer Surplus and Producer Surplus

Consumer Surplus:

Consumer surplus is basically defined as the difference between the price consumer is willing to pay and consumer actually pays for the goods and the services. It is defined as by the area under demand curve and above the market  price. When price decreases consumer surplus increase upto certain point.

Producer Surplus:

Producer surplus is defined as the difference between the price, which producer is willing to sell and the price actually sold by the producer. It is shown by the area above the supply curve and below the market price. When price decreases the producer surplus increases.