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13-06-2022
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How do you find consumer surplus and producer surplus at the equilibrium price?

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14-06-2022

Answer:

The consumer surplus is q∗∫0d(q)dq−p∗q∗.

The producer surplus is p∗q∗−q∗∫0s(q)dq.

The sum of the consumer surplus and producer surplus is the total gains from trade.

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