A-LevelEconomicsThe price system and the microeconomy9708/12 · Feb/Mar 2018 · Q121 Mark
At first, a television service is available at no charge. The television company then charges viewers $6 per hour to watch its programmes. The demand curve is D. [Figure 12.1] What is the value of the loss in consumer surplus and what value of consumer surplus remains after the introduction of the hourly charge?
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Alost consumer surplus () 9000, remaining consumer surplus () 4000
Blost consumer surplus () 9000, remaining consumer surplus () 16000
Clost consumer surplus () 21000, remaining consumer surplus () 4000
Dlost consumer surplus () 21000, remaining consumer surplus () 16000
✓ Correct answer
C: lost consumer surplus () 21000, remaining consumer surplus () 4000
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