Question

UUUUULUI. IL 25 of 65 (22 complete) This Test: 65 pts ly- 5.00 Q Consider the market for gasoline, ilustrated 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 s per gallon 4.50- 4.00 3.50 instead the market price were $3.25, then there would be a million gallons Price of Gasoline (per gallon) & 3.00 2.50 200 8 150 1.00 D 0.50 uncement 0.00 10 Quantity of Gasoline (gallons in millions) Due Assig rent Assign DAY JUL 31 Enter your answer in each of the answer boxes ? Chapter 14 Homework: Money, banks and the federal... DUE AT 11:59 PM Score: 95.38 Completed Assignments (1)

Answer 1

Price S 2.50 3. Quantity (Gallon in Million) & Q = 5 Million Equilibrium Occur at ajero point where Demand = Supply The above condition is satisfied at price: 2.50 & Equilibrium Quantity 5 Million Gallons Equilibrium Price: $2.50 per Gallons At Price = $3.25 Quantity demanded 34 Million Gallons Quantity Supplied67;llion Gallons Since Acantity Supplied is more than Quantity card denard So there is sumptus Susplus6-337; llion Gallons If Yarket price were $3.25, then there would be Surplus of 13 Million Gallons a CS Scanned with CamScanner