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​Exhibit 7-8 -Refer to Exhibit 7-8. When the Price Falls from P2

Question 50

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​Exhibit 7-8 ​Exhibit 7-8 -Refer to Exhibit 7-8. When the price falls from P<sub>2</sub> to P<sub>1</sub>, producer surplus:​ A) ​increases by area B B) ​increases by area A + B C) ​decreases by area A D) ​decreases by area A + B
-Refer to Exhibit 7-8. When the price falls from P2 to P1, producer surplus:​


A) ​increases by area B
B) ​increases by area A + B
C) ​decreases by area A
D) ​decreases by area A + B

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