Table 17-2

question 178

Multiple Choice

Table 17-2. The table shows the town of Pittsville's demand schedule for gasoline. For simplicity, assume the town's gasoline seller(s) incur no costs in selling gasoline.

-Refer to Table 17-2.If there are exactly three sellers of gasoline in Pittsville and if they collude,then which of the following outcomes is most likely?

• A) Each seller will sell 166.67 gallons and charge a price of $1.33.
• B) Each seller will sell 166.67 gallons and charge a price of $5.
• C) Each seller will sell 200 gallons and charge a price of $4.
• D) Each seller will sell 233.33 gallons and charge a price of $5.

---

Definitions:

Aggregate

refers to the total amount or sum of individual parts in economics or finance.

Desired Money Holding

The preference of individuals or firms for holding cash or liquid assets based on expected financial needs or uncertainties.

Aggregate Demand

The full extent of demand for all goods and services within an economy, measured against a specified price level across a given temporal span.

Employment Act of 1946

A United States federal law aiming to promote maximum employment, production, and purchasing power through economic stability policies.