Assuming that the demand for a product is stable,a increase in price will lead to an increase in consumer surplus.

Question

Quizplus · Accepted Answer

If the demand for a product is stable, increasing the price would result in a decrease in quantity demanded. This would lower the consumer surplus as consumers are willing to pay a certain price for the product, but may not be willing to pay the increased price. Therefore, an increase in price would lead to a decrease in consumer surplus, not an increase.

Assuming That the Demand for a Product Is Stable,a Increase