If the price of a product increases:
A)the consumer surplus will decrease.
B)the consumer surplus will increase.
C)total revenue will increase if demand is price elastic.
D)total revenue will decrease if demand is price inelastic.

Question

Quizplus · Accepted Answer

When the price of a product increases, the consumer surplus decreases because consumers are paying more for the same product, reducing the difference between what they are willing to pay and what they actually pay.

If the Price of a Product Increases