Question

If P=100 , Q=200, what will be the result of the following expression.
(Assume the value of P as 100 and Q as 200 for each evaluation)
1. P+=Q
2. P*=2
3. (P>Q)?P:Q
4. P==Q
5. Q!=P​

Answer 1

Answer:

Consumer and Producer Surplus

Given a demand function p=d(q) and a supply function p=s(q), and the equilibrium point (q∗,p∗)

The consumer surplus is

∫0q∗d(q)dq−p∗q∗.

The producer surplus is

p∗q∗−∫0q∗s(q)dq.

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