Suppose the Price of Good X Increases

question 143

Essay

Suppose the price of good X increases.Assume that nothing else changes.Explain what will happen to the consumer surplus in this case and use a demand-curve to illustrate your answer.

---

Definitions:

Production Orientation

A business approach focused on the production process and efficiency, often with less emphasis on marketing or customer needs.

Mid-1920s

A period referring to the middle years of the decade of the 1920s, often associated with significant economic growth and cultural change.

Supply Chain

The network of all the individuals, organizations, resources, activities, and technology involved in the creation and sale of a product, from the delivery of source materials from the supplier to the manufacturer, and eventually to the end user.

Marketing Exchange

The act of obtaining a desired product from someone by offering something in return, underlying the basic concept of transactions in marketing.