Price is $50 and quantity demanded is 2,000 units at point A on a linear demand curve.The linear supply curve intersects the demand curve at point B,which is at a price of $30 and 3,000 units.Which of the following is true?
A) Moving from point A to point B causes consumer surplus to rise by $50,000.
B) Moving from point A to point B causes consumer surplus to rise by $10,000.
C) Moving from point B to point A causes consumer surplus to rise by $10,000.
D) Moving from point B to point A causes consumer surplus to rise by $50,000.
Correct Answer:
Verified
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