Assume perfectly competitive markets without externalities. At the current market price of $100, 1,000,000 units are demanded, elasticity of demand is 1.3, and elasticity of supply is 2.3. If the government introduces a $10 per unit subsidy, payable to the sellers, the consumer surplus and total surplus .
A. increases; increases.
B. increases; decreases.
C. stays the same; increases.
D. stays the same; decreases.
E. stays the same; stays the same.