If a market is allowed to move freely to its equilibrium price and quantity,then an increase in supply will
A)increase consumer surplus.
B)reduce consumer surplus.
C)not affect consumer surplus.
D)increase or decrease consumer surplus or leave consumer surplus unchanged.

Question

Quizplus · Accepted Answer

An increase in supply typically leads to a lower equilibrium price and a higher equilibrium quantity, which increases consumer surplus as consumers can purchase more at a lower price.

If a Market Is Allowed to Move Freely to Its