Figure 7-22 -Refer to Figure 7-22.Assume Demand Increases,which Causes the Equilibrium Price

question 120

Multiple Choice

Figure 7-22
-Refer to Figure 7-22.Assume demand increases,which causes the equilibrium price to increase from $50 to $70.The increase in producer surplus due to new producers entering the market would be

• A)$400.
• B)$800.
• C)$1,200.
• D)$900.

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