Figure 7-19

-Refer to Figure 7-19.At equilibrium,producer surplus is represented by the area
A) F.
B) F+G.
C) D+H+F.
D) D+H+F+G+I.

Question

Figure 7-19
 
-Refer to Figure 7-19.At equilibrium,producer surplus is represented by the area
A) F. 
B) F+G. 
C) D+H+F. 
D) D+H+F+G+I.

Quizplus · Accepted Answer

At equilibrium, producer surplus is represented by the area above the supply curve and below the market price. In this diagram, that area is represented by the triangle D+H+F, so the correct answer is (C). F+G represents consumer surplus, and G+I represents deadweight loss.

Figure 7-19 -Refer to Figure 7-19.At Equilibrium,producer Surplus Is Represented by the Is