Consider the market for gasoline, illustrated in the figure to the right. The equilibrium quantity of gasoline is million gallons (enter a numeric response using a real number rounded to two decimal places) and the equilibrium price is $ per gallon. If instead the market price were $3.25, then there would be a of million gallons.

Consider the market for gasoline, illustrated in the figure to the right. The equilibrium quantity of gasoline is million gallons (enter a numeric response using a real number rounded to two decimal places) and the equilibrium price is $ per gallon. If instead the market price were $3.25, then there would be a of million gallons.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Q21

Consider the market for gasoline, illustrated in the figure to the right.
The equilibrium quantity of gasoline is million gallons (enter a numeric response using a real
number rounded to two decimal places) and the equilibrium price is $ per gallon.
If instead the market price were $3.25, then there would be a
of
shortage
surplus
million gallons.
Price of Gasoline (per gallon)
5.00-
4.50-
4.00-
3.50-
3.00-
2.50-
2.00-
1.50-
1.00-
0.50-
0.00-
S
D
3.5 7 10.5 14 17.5 21 24.5 28 31.5 35
Quantity of Gasoline (gallons in millions)
G

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