Answer the question(s)below based on the following diagram.

-Refer to the diagram above,which represents a country's supply and demand for an internationally traded good.If PW is the world price,and a foreign country engages in dumping by selling at P1,the country's consumer surplus will ________ by ________.

Question

Answer the question(s)below based on the following diagram.
 
-Refer to the diagram above,which represents a country's supply and demand for an internationally traded good.If PW is the world price,and a foreign country engages in dumping by selling at P1,the country's consumer surplus will ________ by ________.

Quizplus · Accepted Answer

Consumer surplus increases by the area abcd because consumers can now purchase the good at a lower price P1 instead of the world price PW, leading to an increase in consumer surplus by the area between the demand curve and the new price level P1.

Answer the Question(s)below Based on the Following Diagram