Exhibit 6.9

-Refer to Exhibit 6.9,which shows Emily's demand curves for hot chocolate.On a normal day,Emily's demand curve for a cup of hot chocolate is shown as D.On a freezing day,her demand curve shifts rightward to D'.At a price P,Emily's consumer surplus on a freezing day _____
A) cannot be determined without calculating her marginal valuation of a cup of hot chocolate.
B) increases significantly over her consumer surplus on a normal day.
C) will vary depending on whether hot chocolate is a normal or an inferior good.
D) increases only if her demand curve is unit elastic.
E) decreases significantly over her consumer surplus on a normal day.
Correct Answer:
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