Figure 13-1 -Refer to Figure 13-1.The marginal revenue from the increase in price from P₀ to P₁ equals A)the area A. B)the area (B + D - A). C)the area (A - D). D)the area (C -

Question

Quizplus · Accepted Answer

The marginal revenue from the increase in price is equal to the change in total revenue, which is represented by the area between the original and new demand curves. In this case, it is the area (A - D) that represents the increase in total revenue. Therefore, the answer is C.

Figure 13-1 -Refer to Figure 13-1.The Marginal Revenue from the Increase in the Increase