Exhibit 3A-2 Comparison of Market Efficiency and Deadweight Loss

question 58

Multiple Choice

Exhibit 3A-2 Comparison of Market Efficiency and Deadweight Loss

As shown in Exhibit 3A-2, if the market price falls from P₂ to P₃, then:

• A) consumer surplus increases.
• B) producer surplus increases.
• C) deadweight loss increases.
• D) the market moves to an equilibrium price and quantity.

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Definitions:

Perceived Behavioral Control

An individual's belief in their capability to execute behaviors necessary to produce specific performance attainments.

Self-Efficacy

Someone's trust in their own capability to perform tasks that will lead to particular outcomes.

Attitude

A psychological construct representing an individual's like or dislike for an item, behavior, or issue.

Volitional Phase

In the health action process approach, the stage in which a person pursues a health-related goal.