Economics 9708 · AS & A Level · Cross elasticity of demand

Cross elasticity of demand — practice question

How is consumer surplus affected when the product price goes up? (Diagram: consumer demand curve showing price rises of $5.)

  • AIt falls at a constant rate (%) with each $5 rise.
  • BIt falls by a constant amount with each $5 rise.
  • CIt falls by a decreasing amount with each $5 rise.
  • DIt falls by an increasing amount with each $5 rise.

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