Figure 7-6

-Refer to Figure 7-6.What happens to the consumer surplus if the price rises from $100 to $150?
A) The new consumer surplus is half of the original consumer surplus.
B) The new consumer surplus is 25 percent of the original consumer surplus.
C) The new consumer surplus is double the original consumer surplus.
D) The new consumer surplus is triple the original consumer surplus.

Question

Figure 7-6
 
-Refer to Figure 7-6.What happens to the consumer surplus if the price rises from $100 to $150?
A) The new consumer surplus is half of the original consumer surplus. 
B) The new consumer surplus is 25 percent of the original consumer surplus. 
C) The new consumer surplus is double the original consumer surplus. 
D) The new consumer surplus is triple the original consumer surplus.

Quizplus · Accepted Answer

When the price rises from $100 to $150, the consumer surplus decreases significantly, often to a fraction of its original value, such as 25 percent, due to the reduction in the area under the demand curve above the new price level.

Figure 7-6 -Refer to Figure 7-6.What Happens to the Consumer Surplus If