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Suppose that the demand for a good is described as follows: Qx = - 4Px + 20 a) What do you understand by consumer surplus? ( b) Imagine that the price of the good reduces from 4 u

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Suppose that the demand for a good is described as follows: Qx = - 4Px + 20

a) What do you understand by consumer surplus? (

b) Imagine that the price of the good reduces from 4 u.m to 3 u.m. Without showing any calculations, explain succinctly whether the consumer surplus will increase or decrease