The market price for a cup of tea is currently $6.00. Sid is willing to pay a maximum of $ 8.00 for a cup of tea while Coffee & More is willing sell a cup of tea for a minimum of $ 2.00. If the market price changes to $ 3.00, what would be the consequences? OSid's consumer surplus would fall OCoffee & More's producer surplus would fall OThe social surplus would fall ONo changes would occur

The market price for a cup of tea is currently $6.00. Sid is willing to pay a maximum of $ 8.00 for a cup of tea while Coffee & More is willing sell a cup of tea for a minimum of $ 2.00. If the market price changes to $ 3.00, what would be the consequences? OSid's consumer surplus would fall OCoffee & More's producer surplus would fall OThe social surplus would fall ONo changes would occur

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter7: Consumers, Producers, And The Efficiency Of Markets

Section: Chapter Questions

Problem 1PA

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