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Figure 3-19 Refer to Figure 3-19

Question 177

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Figure 3-19 Figure 3-19   Refer to Figure 3-19. If the government mandated a price increase from P<sub>e</sub> to a higher price, then A)  total surplus would decrease. B)  consumer surplus would increase. C)  total surplus would increase, since producer surplus would increase. D)  total surplus would remain unchanged. Refer to Figure 3-19. If the government mandated a price increase from Pe to a higher price, then


A) total surplus would decrease.
B) consumer surplus would increase.
C) total surplus would increase, since producer surplus would increase.
D) total surplus would remain unchanged.

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