Use the Following to Answer Questions

question 169

Multiple Choice

Use the following to answer questions:
Figure: Demand and Supply of Gasoline
-(Figure: Demand and Supply of Gasoline) Look at the figure Demand and Supply of Gasoline. When the supply curve shifted from the initial equilibrium, the new intersection of supply and demand has a price of _____ and quantity of 400. This supply shift could have resulted from _____.

• A)$1.50; an increase in consumers' income
• B)$1.50; an improvement in refining technology
• C)$2.00; an increase in the number of buyers
• D)$2.00; an increase in consumers' income

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