Refer to the graph shown. If the government imposed a price ceiling of $4, producer surplus would:
A) increase from 2 to 4.
B) increase from 4 to 8.
C) fall from 8 to 2.
D) fall from 16 to 4.

Question

Refer to the graph shown. If the government imposed a price ceiling of $4, producer surplus would: 
A) increase from 2 to 4. 
B) increase from 4 to 8. 
C) fall from 8 to 2. 
D) fall from 16 to 4.

Quizplus · Accepted Answer

The Answer of Refer to the graph shown. If the government imposed a price ceiling of $4, producer surplus would: 
A) increase from 2 to 4. 
B) increase from 4 to 8. 
C) fall from 8 to 2. 
D) fall from 16 to 4.

Refer to the Graph Shown