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Economics (AS & A Level) · May / June 2026 · Paper 12 · Question 9

9708Consumer and producer surplus

The demand curve for a product is perfectly elastic and the supply curve is unit elastic. What is the value of the consumer surplus and producer surplus?

  1. Aconsumer surplus: between zero and infinity; producer surplus: zero
  2. Bconsumer surplus: infinity; producer surplus: zero
  3. Cconsumer surplus: zero; producer surplus: between zero and infinity
  4. Dconsumer surplus: zero; producer surplus: infinity

As printed in the paper

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Correct answer: C. consumer surplus: zero; producer surplus: between zero and infinity

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