Figure 7-2

-Refer to Figure 7-2.Which area represents the increase in consumer surplus when the price falls from P₁ to P₂
A)ABD
B)ACF
C)BCED
D)BCFD

Question

Figure 7-2
 
-Refer to Figure 7-2.Which area represents the increase in consumer surplus when the price falls from P₁ to P₂
A)ABD 
B)ACF 
C)BCED 
D)BCFD

Quizplus · Accepted Answer

When the price falls from P₁ to P₂, the increase in consumer surplus is represented by the area between the original price line (P₁) and the new price line (P₂), up to the demand curve. This area is BCFD.

Figure 7-2 -Refer to Figure 7-2.Which Area Represents the Increase in Consumer