Use the following to answer questions:
Figure: Gains from Trade
-(Figure: Gains from Trade) Refer to the figure. What are the total gains from trade at the free market equilibrium?
A) $1,000
B) $500
C) $0
D) $1,500

Question

Use the following to answer questions:
Figure: Gains from Trade 
-(Figure: Gains from Trade) Refer to the figure. What are the total gains from trade at the free market equilibrium?
A) $1,000 
B) $500 
C) $0 
D) $1,500

Quizplus · Accepted Answer

The total gains from trade at the free market equilibrium are represented by the area between the supply and demand curves up to the equilibrium quantity. In this case, it is $1,000.

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