Assume There Are Three Hardware Stores,each Willing to Sell One

Multiple Choice

Assume there are three hardware stores,each willing to sell one standard model hammer in a given time period.House Depot can offer their hammer for a minimum of $7.Lace Hardware can offer the hammer for a minimum of $10.Bob's Hardware store can offer the hammer at a minimum price of $13. Given the scenario described,if the market price of hammers increased from $8 to $12,producer surplus would:

A) increase from $8 to $12.
B) increase by $4 for each producer.
C) increase by $4 for House Depot.
D) increase by $7 in total.