(Figure: Market for Peanuts II) If the government mandates a price floor of $750, the area of consumer surplus:
A) increases from A to A + B + C.
B) decreases from A + B + C to A.
C) increases from A to B + C.
D) decreases from B + C to A.

Question

(Figure: Market for Peanuts II) If the government mandates a price floor of $750, the area of consumer surplus: 
A) increases from A to A + B + C. 
B) decreases from A + B + C to A. 
C) increases from A to B + C. 
D) decreases from B + C to A.

Quizplus · Accepted Answer

The Answer of (Figure: Market for Peanuts II) If the government mandates a price floor of $750, the area of consumer surplus: 
A) increases from A to A + B + C. 
B) decreases from A + B + C to A. 
C) increases from A to B + C. 
D) decreases from B + C to A.

(Figure: Market for Peanuts II) If the Government Mandates a Price