Question

wy r upunuyy.cu m 2203 ACC1221_01_3065: Cha X G horizontal line- hp?attempt=24656098cmid=2454893&page=28 grades Support this course Thursday, March Course Information - Start Here > Exam 2 _ECON202_05 OPEC successfully raised the world price of oil in the 1970s and early 1980s, primarily due to 9 wered of 2.00 question Select one: a. an inelastic demand for oil and a reduction in the amount of oil supplied. b. angelastic demand for oil and a reduction in the amount of oil supplied. C. an elastic demand for oil and an increase in the amount of oil supplied. d. an inelastic demand for oil and an increase in the amount of oil supplied. Previous page 2203_ECON202_05 Jump to Announce Return to Course informat.

Answer 1

Answer is A. Inelastic demand of oil and reduction in supply caused the increase in oil prices.

When demand is inelastic it means change in quantity will be lesser when there is change in price. Inelastic demand was supported by decrease in supply and all these caused the increase in oil prices drastically.

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