According to the Graph Shown, If the Market Goes from Equilibrium

question 42

Multiple Choice

According to the graph shown, if the market goes from equilibrium to having its price set at $10 then:

• A) $12 gets transferred from consumer surplus to producer surplus.
• B) area C is lost consumer surplus due to fewer transactions taking place.
• C) area E is lost producer surplus due to fewer transactions taking place.
• D) All of these are true.

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