CHAPTER SEVEN

7. BASICS OF INTEGRATION

7.1. Indefinite integral

Most of the mathematical operations have inverse operations: the inverse operation of addition is
subtraction, the inverse operation of multiplication is division, and the inverse operation of
exponentiation is rooting; and there by the inverse operation of differentiation is called
integration. In chatter 5 and 6 we learned about differential calculus, which measures the rate of
change of functions. Differentiation is the process of finding the derivative F ' (x) of a function
F ¿ ). Reversing the process of differentiation and finding the original function from the
derivative is called integration, or antidifferentiation. The original function F (x) is called the
integral, or antiderivative, of F ' (x). Hence, in this unit we will see the concept of integration
related with the area in which it is applicable in economics.

Definition and properties of indefinite integral:

The function F(x) is called an antiderivative of f(x) if F ' (x) = f(x). For example, the

( )
2 2
x x
antiderivative of x is because ' = x, the antiderivative of cos-x is sin-x because (sin-x)′ =
2 2
cos-x etc. An antiderivative is not uniquely determined because the antiderivatives of cos x can
also sin x + 2, sin x − π and any function sin x + C, where C is an arbitrary constant. More
generally, if F(x) is an antiderivative of f(x) then the antiderivative of f(x) is also every function
F(x) + C, where C is whatever constant and there exist no antiderivatives in different form. This
gives us the possibility to define as:

Definition: If the function F(x) is an antiderivative of f(x) then the expression F(x) + C, where C
is an arbitrary constant, is called the indefinite integral of f(x) with respect to x and
denoted ∫ f ( x ) dx .
By this definition:

∫ f ( x ) dx=F ( x )+C
Where; the function f(x) is called the integrand; ∫ is the integral sign, x is called the variable of
integration and C the constant of integration. The left hand side of the equation is read,
“the indefinite integral of f of x with respect to x,”.
1
Using the examples considered, we can write now that

∫ cos x dx=sin x +C ;∧¿ 2

∫ xdx= x2 +C
Then, based on the definition of indefinite integral, we can make three important conclusions as
follow:
Conclusion- 1: The derivative of the indefinite integral equals to the integrand. That means, in
math notation,

(∫ f ( x ) dx ) =( F ( x ) +C )' =f ( x)
'

Conclusion-2: The differential of the indefinite integral is the expression under integral sign.
That means;

d (∫ f ( x ) dx )=(∫ f ( x ) dx ) dx =f ( x ) dx
'

Conclusion-3: The indefinite integral of the differential of a function equals to the sum of that
function and an arbitrary constant. Indeed, as F’(x) = f(x), then

∫ dF(x )=∫ F ' ( x ) dx=∫ f ( x ) dx=F ( x ) +C

NB. The process of finding the antiderivatives and the integral of a function, respectively, is said
to be antidifferentiation and integration.
Example: Find the integral of the following function
a. ∫ e x dx b. ∫ ( 1x )dx c. ∫ dx
Solution:
a. ∫ e x dx = e x +C B/c, e x is the derivatives of e x +C
b. ∫ ( 1x )dx =ln x+ C B/c, 1x is the derivatives of ln x +C
c. ∫ dx = x + C. B/c, 1 is the derivatives of x + C
7.2. Fundamental rules of integration
Among the rules for derivatives, the three rules were of supreme importance, and everything
flowed from them linearity, the product rule, and the chain rule. In the reverse direction (from
F(x) to f) this is still true. The three basic methods of differential calculus also dominate in
integral calculus:

2
  Linearity of derivatives  linearity of integrals
 Product rule for derivatives  integration by parts
 Chain rule for derivatives  integrals by substitution
In fact, the easiest, that comes first, is linearity. Integration by substitution and by parts will be
discussed independently. The sub-section starts on substitutions, reversing the chain rule to make
an integral simpler. The following rules of integration are obtained by reversing the
corresponding rules of differentiation. Their accuracy is easily checked, since the derivative of
the integral must equal the integrand.

Rule-1: Constant Rule

∫ kdx=kx +C , where k is constant number

Note: The integral of 1, written simply as dx , not 1 dx , is

∫ dx=x+ C
Example:

∫ 4 dx=4 x +C
Rule-2: Power Rule
n+1
x
∫ x dx= n+1
n
+C , n ≠−1

Examples:
4 5
∫ x 3 dx= x4 +C 5 +1
A. x2
C. ∫ √ 5
x dx=∫ x2
dx=
5
+C
−2+ 1 +1
B. ∫ x12 dx=∫ x−2 dx= −2+1
x
+C
2
7 7
2 2
x
−1
−1 = x + C= 2 x +C
¿ +C= +C 7/2 7
−1 x

Rule-3: Constant Multiple Rule

∫ k ¿¿
Examples:

( ) ( )
1+1 2
x x
A. ∫ 2 xdx=2 ∫ 1+1 +C=2
2
2
+C=x + C

3
 ( ) ( )
4+1 5
x x
B. ∫ 5 x 4 dx=5 ∫ 4+1 + C=5
5
5
+C=x +C

Rule-4: Sum and Difference Rule

∫ ( f ( x ) ± g(x )) dx=∫ f ( x ) dx ±∫ g ( x ) dx
Examples:

( )
3+ 1 2 +1
x x
A. ∫ [ 5 x 3 + x 2 ] dx=∫ 5 x 3 dx+ ¿∫ x 2 dx=5 3+1
+ C1 +
2+ 1
+C 2 ¿

4 3
5x x
= + +C
4 3
B. ∫ [ 4 x 3−6 x 2 +7 x ] dx=∫ 4 x 3 dx+ ¿∫ 6 x 2 dx +∫ 7 xdx ¿

( ) ( ) ( )
4 3 2
x x x 4 3 7 2
=4 +C 1−6 +C 2+7 +C 3=x −2 x + x +C
4 3 2 2
Rule-5: Exponential Rule

∫ e x dx=e x + C

Rule-6: Logarithmic Rule

1
∫ x dx=ln x +C
2 3 x
Example: Find the antiderivative of x + −4 e + 1
x
2 3
x( x 2 1
x )
Solution: ∫ x + −4 e + 1 dx=¿ ∫ x dx+∫ 3 dx−∫ 4 e dx +∫ 1 dx
x

3
x x
= +C 1+3 ln x +C 2−4 e +C 3+ x+C 4
3
3
x x
= +3 ln x−4 e + x+C
3
Remark:
All antiderivatives allow the addition of a constant. For a combination function, however,
the constants for each part combine into a single constant. Therefore, to give all possible
antiderivatives of a function, just remember to write “+ C” after one of them.
Sometimes simplifying the integrand by any of the algebraic method would be necessary to
apply the above rule. For example rather than finding the antiderivatives of 3 x 2 ( x 3−1 ) as it

4
 is it is too easy to find after finding the product as x 5−32; That means, rather than

∫ 3 x 2 ( x3 −1 ) dx it is better to integrate ∫ 3 x 5−3 x 2 dx.

7.3. Techniques of Integration
1
Up to now, integration depended on recognizing derivatives. If F(x) = ( x 2 +1 ) 2 + 2, then the

x x
derivative ( f ' ( x) )is . To integrate , however, it is not immediately recognizable.
√x 2
+1 √ x 2 +1
What we need here, are techniques for other integrals, to change them around until we can
attack them. With integration by parts, and a new substitution, they become simple. Substitutions
are based on the chain rule, and more are ahead; whereas integration by part is based on the
product rule. Therefore, the reverse of the chain and product rule, to find integrals not
derivatives, is integration by substitution and parts respectively.

Integration by substitution (changing variable)

Consider the indefinite integral ∫ fxdx and one-valued differentiation function x = g(u), which
has one- valued inverse function u = g−1(x), then

∫ fxdx=∫ f [ g ( u ) ] g ' ( u ) du … … … … … … … … … … … … … ..eq 7.1

To prove this, we use again the fact that the indefinite integrals are equal if the derivatives of
these are equal. To do that, let us differentiate both sides of the above identity (eq 7.1) with
respect to x and it becomes convinced that the result is the same. By the conclusion-1; that is

(∫ f ( x ) dx ) =( F ( x ) +C )' =f ( x ) ;
'
the derivative of the left side of eq 7.1 is f(x); whereas, the

antiderivative of the right side is a function of the variable u. To differentiate this with respect to
x we have to use the chain rule: the derivative of the antiderivative with respect to u times the
derivative of u with respect to x:

d d
dx
(∫ f [ g (u ) ] g' ( u ) du )= du (∫ f [ g ( u ) ] g ' ( u ) du ) du
dx
… … … . eq 7.2

Again by conclusion-1; the right side of eq 7.2 will be

d
du
(∫ du
( )
f [ g ( u ) ] g ' ( u ) du ) =f [ g ( u ) ] g ' ( u )
dx
du
dx

5
But, by assuming g' (u ) ≠ 0, the derivative of the inverse function u = g−1(x); ( dudx ),will be the
reciprocal of the derivative of the given function; that means

du d −1 1
= ( g ) x= '
dx dx g (x)
All together:
d
dx
(∫ ' '
( )
f [ g (u ) ] g ( u ) du )=f [ g ( u ) ] g ( u ) '
1
g (x )
=f [ g ( u ) ] =f (x )

Indeed, as the derivatives of both sides of the equality (7.1) are equal to f(x), the identity of eq
7.1 is always true.

The main goal of the change of the variable is to obtain the indefinite integral which can be
found (integrated) using some transformations or some other technique of integration. For
example let us assume that the table of basic integrals contains ∫ fxd x=F ( x ) +C and then we
need to find the integral∫ f [ g ( u ) ] g ( u ) dx . Hence, changing the variable u = g(x), and the
'

differential du = g′(x); the integral transforms to:

∫ f [ g ( u ) ] g' ( u ) dx=∫ f ( u ) du=F ( u ) +C

xdx
Example: Find the integral of ∫
√ x2 +1
Solution: To find this integral, we use the change of variable u = x 2 + 1; then the differential du
will be 2xdx or xdx = du/2, and hence
xdx xdx du
∫ =∫ ; but xdx=
√ x +1
2
√u 2

( ) ()
−1 1
+1 1
2 2
1 du 1 du 1 u 1 u
⟹∫ = ∫ = +C= +C=u 2 +C
2 √ u 2 √ u 2 −1 2 1
+1
2 2

But, u = x2 + 1; (x2 + 1) ½ + C =√ x 2+1+C

Therefore, the very important procedure in integration through substitution is to substitute a

variable by letting. But, to be correct, we have to choose the function that gives the other
function when it derivates. In fact, the derivatives may not exactly be the other function, but it
must be similar with the x-degree of the other function. For example in the above example, we

6
select the function x2 + C to let to u as it gives the other function (i.e., x). Based on this, here,
from the example and the general expression of integration by substitution; we can conclude the
following two important conclusions:

Conclusion-1: the indefinite integral of a fraction, whose numerator is the derivative of the
denominator, equals to the natural logarithm of the absolute value of the
denominator plus the constant of integration; that means
'
f (x )
∫ f ( x ) dx=ln|f ( x )|+C
f ' (x )
Indeed, changing the variable u = f(x) in the integral ∫ dx ,we have du = f ' ( x ) dx and
f (x )
'
f (x )
∫ f ( x ) dx=∫ du
u
=ln |u|+C=ln|f ( x )|+C

xdx
Example: Find the integral of ∫ 2
x +1
Solution: To find this integral, let x2 + 1 = u; then the differential du will be 2xdx or xdx = du/2,
and hence
xdx xdx du xdx du
∫ x 2+1 =∫ u
; but xdx = ; then∫ 2 =∫
2 x +1 2u
1 du 1 du 1 1 2
⟹∫ = ∫ = ( lnu )+C ; but u=x +1 ; then= ( x + 1 ) +C
2
2u 2 u 2 2
Note: Here, in example-2, we need not use the absolute value of the argument of natural
logarithm x2 + 1 because as it is positive for any real value of x.

Conclusion-2: If the argument x of the integrable function has been substituted with a linear
expression ax + b then the argument of the antiderivative is also ax + b and the
antiderivative is multiplied by the reciprocal 1/a of the coefficient of x. That is:

1
∫ f ( ax +b ) dx= a F ( ax +b )+ C
To verify this assertion of conclusion 2, it is sufficient to change the variable u = ax + b, which
1
yields du=adx or dx = du and then
a

7
 1 1 1 1
∫ f ( ax +b ) dx=∫ f (u) a du= a ∫ f (u ) du=¿ a F ( u ) +C= a F ( ax+ b ) +C ¿
Example: The substitution method is used below to determine the indefinite integral

∫ 12 x 2( x 3+2)dx
Be sure that the integrand can be converted to a product of another function u and its derivative
du / dx times a constant multiple,
a) Let u equal the function in which the independent variable is raised to the higher power in
3
terms of absolute value; here let u=x +2
2
b) Take the derivative of u du / dx=3 x ,
2
c) solve algebraically for dx ; dx=du/ 3 x ,
3 2
d) Then substitute u for x +2 and du / 3 x for dx in the original integrand;
du
∫ 12 x 2 ( x 3 +2 ) dx=∫ 12 x 2⋅u⋅3 x 2
=∫ 4 udu
=4∫ udu
1
=4( u2 )
2
=2 u2 + c , substituting x 3 + 2 for u
∫ 12 x 2 ( x 3 +2 ) dx=2( x 3 +2 )2 +c
Check the answer by differentiating with the generalized power function rule or chain rule.

Let f ( x )=2(x 3 +2)2 +c

df ( x ) d
= [ 2( x 3 +2 )2 +c ] =4 ( x3 +2)(3 x 2 )=12 x2 ( x 3 +2 )
dx dx

Integration by parts
This technique is more appropriate when the integrand is the product of two expressions and
difficult to apply the substitution techniques. To derive the general expression of integration by
parts, let’s begin from the product rule.

The differential of the product of two differentiable functions U = u(x) and V = v(x) is

8
 d dv du
dx
[ u ( x ) v (x) ] =u ( x ) + v ( x)
dx dx

Then, integrating both sides of the above identity will give the following expression:

d
 In the left side
dx
[ u ( x ) v (x)] : integrating the left side brings back u(x)v(x) or UV.
dv du
 In the right side: there are two integrals ∫ u ( x ) dx dx+∫ v (x ) dx dx ; and moving one of
the two integrals to the other side with minus sign will give the following expression and
the expression is the general formula for integration by part (U and V are the parts).

du dv
∫ v ( x) dx dx=u ( x ) v( x)−∫ u ( x ) dx dx ⇔∫ VdU =UV −∫ UdV
Example-1: Evaluate ∫ x e dx Example-2: Evaluate ∫ lnxdx
x

Solution: Let V= x and dU = ex and Solution: Choose V =lnx and dU = dx, and
dV = dx; U = ∫ e dx=e then, dV = 1/x; and U=∫ dx=x ;then
x x

∫ x e x dx=UV −∫ UdV ∫ lnx x=UV −∫ UdV

¿ e x−∫ e dx
x x
1
x x ¿ xlnx−∫ x dx
¿ e x−e +C x
x
¿ e ( x−1 ) +C ¿ xlnx−∫ dx
¿ xlnx−x+C
1
In example-2 above, instead of working with lnx (searching for an antiderivative of x ), we now
x
work with the right hand side. There x times l/x is 1, and then the integral of 1 is x.

Example: Use integration by parts to evaluate the following integral.

Given ∫ 4 x( x+1)3
dx

Solution

∫ 4 x( x+1)3 dx
Separate the integrand into two parts amenable to the formula. As a general rule, consider first
'
the simpler function for f ( x ) and the more complicated function for g ( x ) .

9
 Let f ( x )=4 x and g' ( x )=( x +1)3 , then
, 1 4
f ( x )=4 and g( x )= ( x+1 ) +c 1
4
∫ 4 x ( x+1 ) dx=f ( x )⋅g ( x )−∫ [ g( x )⋅f ' ( x ) dx ]
3

=4 x
[ 1
4
1
] [
( x+ 1)4 +c 1 −∫ ( x +1) 4 + c1 ⋅4⋅dx
4 ]
=x ( x +1)4 + 4 c 1 x−∫ [ ( x +1 )4 +4 c1 ] dx
1
=x ( x +1)4 + 4 c 1 x− ( x +1)5 −4 c 1 x+ c
5
∫ 4 x ( x+1 )3 dx=x ( x +1)4−15 ( x +1)5+ c
Check the answer by differentiating with the product and generalized power function rules.
4 1 5
Let f ( x )=x ( x +1) − ( x +1) +c
5
'
f ' ( x )=x [( x +1)4 ] +( x+1 )4⋅( x )' −( x +1) 4
3 4 4
=x⋅4 (x +1 ) +( x +1 ) ⋅1−(x +1 )
3
=4 x ( x+1)

7.4. Definite integral

The integral of F(x) is an antiderivative f(x) plus a constant C. Which means, every time, the
indefinite integral contains "+C." however, as f(x) + C has the same slope for every C, the
constant is not settled; and as we care only about the derivative, C makes no difference.
However, when the goal is a number-a definite integral-C can be assigned a definite value at the
starting point. Definite integral, therefore, specified with two values of the independent variable
(placed at the top and bottom of the integration sign) and is defined as the value of the integral at
one value minus its value at the other value.

The area under the graph of continuous function from a to b (a < b) can be expressed more
succinctly as the definite integral of f(x) over the interval a to b. Mathematically expressed as
b n
∫ f ( x )dx=lim
n→ ∞
∑ f ( x i )Δx i
a i=1

Where, a is called the lower limit of integration and b the upper limit of integration. Here the left
hand side is read, “the integral from a to b of f of xdx .”
10
The definite integral is a real is a real number which can be evaluated by using the fundamental
theorem of calculus. The fundamental theorem of calculus states that the numerical value of the
definite integral of a continuous function f ( x ) over the interval from a to b is given by the
indefinite integral F ( x )+ c evaluated at the upper limit of integration b, minus the same
indefinite integral F ( x )+ c evaluated at the lower limit of integration a. Since c is common to
both, the constant of integration is subtraction. Expressed mathematically,
b
∫ f ( x )dx=[ F ( x )]ba=F( b)−F (a )
a

where the symbol

[ ]ba indicates that b and a are to be substituted successively for x.

For example, the definite integral ∫ 6 x dx is the value of this integral when x is 8 minus its value
2

when x is 3. Thus, given that

∫ 6 x 2 dx=2 x 3+C ; then

8

∫ [ 2 ( 8 )3 +C ]− [ 2 ( 3 )3 +C ] = 1024 + C – 54 – C = 970.
3

As in the example above, in any definite integral, the two constants of integration will always
cancel out and so they can be omitted. The usual notation used when evaluating a definite
integral is, therefore, to write the relevant values outside a set of squared brackets which contains
the integral of the given function.
6

Example: Evaluate the definite integral of ∫ ( 6 x0.5 −3 x−2+ 85 x 4 ) dx

5

Solution:
6
6
∫ ( 6 x0.5 −3 x−2+ 85 x 4 ) dx=[ 4 x1.5 + 3 x −1 +17 x 5 ]5
5

=¿
= [58.79 + 0.5 + 132,192] – [44.72 + 0.6 + 53,125]
= 132,251.29 − 53,170.32 = 79,080.97

11
Properties of Definite integral

As for derivatives, integrals also have some properties that are always true and very useful in the
calculation of the integral, as well as for completing understanding of the basic integral. In fact,
the first few properties will be quite familiar as they shared properties of the differentiation and
indefinite Integral.

1. Homogeneous Property: Suppose the f is integrable over the interval [a, b] and c ∈ R , then
cf is integrable over the interval [a, b], that means
b b

∫ Cf ( x ) dx =C∫ f ( x ) dx
a a

2. The Additive of Integrand: Suppose the functions f and g are integrable over the interval
[a, b], then f + g, is integrable over the interval [a, b]; and of course, a similar statement is
true for the difference of two functions; that means
b b c

∫ [ C 1 f ( x ) ± C2 g(x )] dx =C1∫ f ( x ) dx+C 2∫ g ( x ) dx

3. Additivity of Limits: Suppose f is integrable over the interval [a, b], and let c ∈[a, b], then
a a b

c b c

∫ f ( x ) dx=∫ f ( x ) dx +∫ f ( x ) dx ; w h ere a <b<C

a a b

4. Integral over Interval of Zero Length: We occasionally come across the problem in
integrating over an interval of zero length. We make the following definition; for any
number a ∈ Dom(f),
a

∫ f ( x ) dx=0
a

5. Reverse Order of Integration: When we perform substitution, the limits of integration

sometimes get mixed around. In order to make valid the substitution method with definite
integrals, and we make the following definition: Suppose f is integrable over the interval [a,
b], then
a b

∫ f ( x ) dx=−∫ f ( x ) dx=f ( b )−f (a)

b a

12
 6. Mean Value Theorem for Integrals: If F(x) is continuous, there is a point c between a and
b where F(c) equals the average value of F(x);
b
1
F ( x )= ∫ F ( x ) dx = Average value of F ( x )
b−a a

This is the same as the ordinary Mean Value Theorem (for the derivative of f(x)):

f ( b )−f (a)
f ( c) = = Aveare slope of f
−a

7.5. Economic applications of integral calculus

The concept of the definite integral has several applications in economics. The major ones are it
helps to develop total functions from marginal functions and helps to determine consumer
surplus from the demand schedule.

1. Developing a Total Function from Marginal function

To evaluate the total function (TF) from marginal function (MC) for a given value of output one
simply substitutes the given quantity into the total function. This is the same as evaluating the
definite integral between zero and the given quantity; and the formula given as:

∫ MF =TF
For instance, to evaluate TVC from MC function for a given value of output one simply
substitutes the given quantity into the TVC function. For example, assume that we want to find
the value of TVC when q = 8 with a given the function MC = 7.5 + 0.3q2; then this would be:
8
8
∫ ( 7.5+ 0.3 q2 ) dq=[ 7.5+0.3 q2 ]0=61.52+51.2=111.2
0

Example:
2
1. Marginal cost is given by MC=25+30 q−9 q . Fixed cost is 55. Find
a) Total cost c) Variable cost function
b) Average cost and
Solution
TC=∫ MCdq=∫ (25+30 q−9 q 2 )dq=25 q +15 q2 −3 q 3 +c ,
a) TC= 5 q+15 q2 −3 q3 +55 Thus, c=FC=55

13
 TC 25 q+15 q 2−3 q 3 +55 55
AC= = =25+15 q−3 q 2 +
b) q q q
VC=TC−FC=25 q +15 q2 −3 q 3 +55−55
2 3
c) =25 q+15 q −3 q
2
2. Given, MR=84−4 q−q , find
a) Total revenue function and b) Demand function

Solution
1
TR=∫ MR dq=∫ (84−4 q−q 2 )dq=84 q−2 q2 − q 3 +c
3
1
TR=84 q−2 q 2− q 3 at q=0 , TR=0 therefore c=0
a) 3
TR 1
P= AR= =84−2 q− q 2
b) Q 3
2. Evaluating Surplus: Consumer and Producer Surpluses
We can also use the concept of integration to determine either the consumers’ or producers’
surplus from demand and supply schedule respectively. Consumer surplus (CS) is defined as the
area below a demand schedule but above the ruling price, and this difference between what
consumers are willing to pay for a good and what they actually have to pay is often used as a
measure of welfare. The general formula that used to evaluate the Consumer surplus is given by:
e
q
Cs=∫ D ( q ) dq−Pe q e
0

Where; D (q) is the demand schedule; qe is equilibrium quantity; and Pe is equilibrium Price

However, in the other direction, producer surplus (Ps) is defined as the area above the supply
schedule but below the ruling price; and this difference between what producers are willing to
sell the good and what they actually have to sell is often used as a measure of welfare. The
general formula that used to evaluate the producers surplus is given by:
e
q
Ps=P q −∫ S ( q ) dq
e e

Where; S (q) is the Supply schedule; qe is equilibrium quantity; and Pe is equilibrium Price
Example: Let assume that the supply and demand schedule for a particular product, respectively,
is given by P = 52 + 2q and P =100 - q2. Then find the consumer and producer surplus.

14
Solution: First, by equating the supply and demand schedule, we find the equilibrium price and
quantity; and which is Pe = 64 and qe = 6. Then:
e
q
Cs=∫ D ( q ) dq−Pe q e
0

= ∫ ( 100−q ) dq−64∗6
2

6
= [ 100 q−q 3 /3 ]0−384
= [600 – 72]-384
= 144
e
q
Ps=P q −∫ S ( q ) dq
e e

0
6
¿ ( 64 ) 6−∫ [54 +2 q]d
0
6
¿ 384−[ 52 q−q2 ] 0
= 384 – (312 -36)
= 108

15
16