Scenario 10-1 The demand curve for gasoline slopes downward and the supply curve for gasoline slopes upward. The production of the 1,000 gallon of gasoline entails the following: a private cost of $3.10. • a social cost of $3-55 a value to consumers of $3.70 Zefer to Scenario 10-1. Suppose the equilibrium quantity of gasoline is 1,150 gallons; that is, QMARKET 1.150. Then the equilibrium price of gallon could be a. $3.30. Ob. $3.80. C. $3.00. O d. $2.80.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Scenario 10-1 The demand curve for gasoline slopes downward and the supply curve for gasoline slopes upward. The production of the
1,000th gallon of gasoline entails the following:
a private cost of $3.10
• a social cost of $3-55
a value to consumers of $3.70
Refer to Scenario 10-1. Suppose the equilibrium quantity of gasoline is 1,150 gallons; that is, QMARKET = 1,150. Then the equilibrium price of
a gallon could be
a. $3.30.
b. $3.80.
c. $3.00.
d. $2.80.
Transcribed Image Text:Scenario 10-1 The demand curve for gasoline slopes downward and the supply curve for gasoline slopes upward. The production of the 1,000th gallon of gasoline entails the following: a private cost of $3.10 • a social cost of $3-55 a value to consumers of $3.70 Refer to Scenario 10-1. Suppose the equilibrium quantity of gasoline is 1,150 gallons; that is, QMARKET = 1,150. Then the equilibrium price of a gallon could be a. $3.30. b. $3.80. c. $3.00. d. $2.80.
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