Assume the market in the graph is in equilibrium at demand (D)and supply (S₁). If the supply curve shifts to S₂, and a new equilibrium is reached, producer surplus will: A)increase by $90. B)increase by $120. C)decrease by $20. D)decrease by $30.

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The Answer of Assume the market in the graph is in equilibrium at demand (D)and supply (S₁). If the supply curve shifts to S₂, and a new equilibrium is reached, producer surplus will: A)increase by $90. B)increase by $120. C)decrease by $20. D)decrease by $30.

Assume the Market in the Graph Is in Equilibrium at Demand