Examlex

Solved

The Demand and Supply Functions for Oil on the World

question 134

Essay

The demand and supply functions for oil on the world market are given as: QD = 25.64 - 0.06P and QS = 21.74 + 0.07P. Calculate consumer surplus. If the Clinton Administration puts a price ceiling of $20 per unit, calculate the resulting consumer surplus. Are consumers better off?


Definitions:

Scapegoat Theory

A concept in social psychology that suggests individuals or groups are unfairly blamed for problems not of their making.

Blame-the-victim Dynamic

A social phenomenon where the victim of a crime or harmful act is held entirely or partially at fault for what happened to them.

Other-race Effect

The tendency to more easily recognize faces of the race that one is most familiar with, which is thought to develop during infancy.

Availability Heuristic

A cognitive shortcut based on the first examples that pop up in one's thoughts when contemplating a particular subject, idea, strategy, or choice.

Related Questions