Figure 4-E -Refer to Figure 4-E.When the Price Falls from P₂ to from P₂

question 177

Multiple Choice

Figure 4-E
-Refer to Figure 4-E.When the price falls from P₂ to P₁, producer surplus:

• A)increases by area B
• B)increases by area A + B
• C)decreases by area A
• D)decreases by area A + B

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