Refer to the graph shown. If the price of this product fell from $5.00 to $2.50 (because of a price ceiling or a shift in demand), producer surplus would fall from:
A) 2,000 to 500.
B) 1,000 to 500.
C) 1,000 to 250.
D) 500 to 250.

Question

Refer to the graph shown. If the price of this product fell from $5.00 to $2.50 (because of a price ceiling or a shift in demand), producer surplus would fall from: 
A) 2,000 to 500. 
B) 1,000 to 500. 
C) 1,000 to 250. 
D) 500 to 250.

Quizplus · Accepted Answer

The Answer of Refer to the graph shown. If the price of this product fell from $5.00 to $2.50 (because of a price ceiling or a shift in demand), producer surplus would fall from: 
A) 2,000 to 500. 
B) 1,000 to 500. 
C) 1,000 to 250. 
D) 500 to 250.

Refer to the Graph Shown