Answer: Option (d) is correct.
Explanation:
Producer surplus is associated with the producer of a good. Graphically, producer surplus is the area between the upper portion of supply curve and equilibrium price level. Producer surplus is also defined as the difference between the price at which sellers are willing supply and the actual price they received.
Producers surplus = Price paid by buyers - Cost of production
Answer:
The correct answer is option D.
Explanation:
The use of plastic to produce bicycle helmets will reduce the amount of resources available to other industries that use plastic. If an industry is making helmets from plastic, they are using plastic as inputs in the production process. This will cause a reduction in the quantity of plastic available.
This plastic is used by other industries as well. They will experience a reduction in the resources available to them.
