Calculate consumer surplus

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Supposed you are interested in buying a new cell phone and consumers are willing to pay N$3000. the demand function is Qd=1500-0.5P and supply function is Qs=500+0.5P.

a) Calculate consumer's surplus

b) If the market price increases by 25% and the quantity sold decreases by 12%, calculate the new consumer's surplus.

Reference no: EM132548550

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