Which of the Following Could Cause an Increase in the Demand

question 7

Multiple Choice

Which of the following could cause an increase in the demand for gasoline?

• A) the resolution of a civil war in one of the world's biggest oil-producing nations
• B) the expectation that the price of gasoline will decrease in the future
• C) a new technology that makes the production of gasoline significantly less expensive
• D) an approaching hurricane that threatens a major oil refinery in Texas

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Definitions:

Costs More

Refers to an increase in financial expenditure or the necessity to spend more money on a specific item or service.

Indifference Schedule

A tabular representation showing combinations of goods between which a consumer is indifferent, reflecting similar preferences as an indifference map.

Units of X

A quantifiable amount of a product or resource, denoted as 'X', used in various contexts to measure output, consumption, or other economic variables.

Marginal Rate

refers to the rate at which one variable changes as another variable changes slightly, commonly used in the context of taxes or interest.