What is the increase in net benefits to consumers

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Question - Demand for organic lentils is given by QD=800-5P. Suppose the market for lentils is competitive and the marginal cost of a bag of lentils is constant at $20. A proposed project would lower the constant marginal cost of production of a bag of lentils to $18. What is the increase in net benefits to consumers from this project? In other words, what is the change in consumer surplus due to this decrease in marginal cost?

Reference no: EM132764814

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