Home Cheggcom Figure The Market fui a Pw Reference Ref 813

Home | Chegg.com Figure: The Market fui a Pw Reference: Ref 8-13 Figure: The Market for iPhones Figure: The Market for iPhones) Use Figure: The Market for iPhones. Assume that P is the autarky price, Pw is the world price, and D and S represent domestic demand and supply, respectively. Consumer surplus in free trade equals the area: Select one: O b. A+ B. O c. A BC D d. A+ B+C.

Solution

The consumer surplus will be the area below the demand curve and above the world price. Here, the area will be A, B, C and D.

the answer is \"C\", A+B+C+D.