Assume a Market Has an Equilibrium Price of $5

Multiple Choice

Assume a market has an equilibrium price of $5. If the market price is set at $9: I. Producer surplus rises for some producers because of the increased price.
II) Producer surplus decreases for some producers because fewer transactions are taking place.
III) Total surplus may rise or fall depending on the change in producer surplus.

A) II only
B) I and III only
C) I and II only
D) I, II, and III