All else equal, what happens to consumer surplus if the price of a good decrease
ID: 1200573 • Letter: A
Question
All else equal, what happens to consumer surplus if the price of a good decreases?
Options:
Consumer surplus increases.
Consumer surplus decreases.
Consumer surplus is unchanged.
Consumer surplus may increase, decrease, or remain unchanged.
If total surplus is $240 and consumer surplus is
Options:
$100, then the price of the good is $130.
$130, then the price of the good is $120.
$160, then the price of the good is $100.
$120, then the price of the good is $90.
A tariff is a
Options:
limit on how much of a good can be exported.
limit on how much of a good can be imported.
tax on an exported good.
tax on an imported good.
Consumer surplus increases.
Consumer surplus decreases.
Consumer surplus is unchanged.
Consumer surplus may increase, decrease, or remain unchanged.
If total surplus is $240 and consumer surplus is
Options:
$100, then the price of the good is $130.
$130, then the price of the good is $120.
$160, then the price of the good is $100.
$120, then the price of the good is $90.
A tariff is a
Options:
limit on how much of a good can be exported.
limit on how much of a good can be imported.
tax on an exported good.
tax on an imported good.
Explanation / Answer
1.Answer-A-Increases
We know that consumer surplus means that consumer is willingness to pay for a commodity minus the consumer actually pay for the certain commodity. When price of a goods faals consumer suplus will be increased. Becuase the actualy payed amount is less than he is willingness to pay.
2. Answer- B-130,then the price of good is 120
3. Answer-D- Tax on imported good
We know that the tarrif is imposed on imported goods. The tarrif is used to restrict the level of trade, By increasing the price of the imported goods.
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.