Graph 9-6
This graph refers to the market for oil in Spain.
-According to Graph 9-6, producer surplus in Spain before trade would be:
A)C
B)B + C
C)A + B + D
D)B + C + D

Question

Graph 9-6
This graph refers to the market for oil in Spain. 
-According to Graph 9-6, producer surplus in Spain before trade would be:
A)C 
B)B + C 
C)A + B + D 
D)B + C + D

Quizplus · Accepted Answer

Producer surplus is the area above the supply curve but below the price level. Before trade, this would include areas B and C, as these are above the supply curve and below the domestic price level.

Graph 9-6 This Graph Refers to the Market for Oil in Spain