During 2008 the Supply of Gasoline Decreased While at the Same

question 112

Multiple Choice

During 2008 the supply of gasoline decreased while at the same time the demand for gasoline increased.If the magnitude of the increase in demand was greater than the magnitude of the decrease in supply,then the equilibrium price of gasoline ________ and the equilibrium quantity ________.

• A) increased; increased
• B) increased; decreased
• C) increased; did not change
• D) decreased; did not change
• E) did not change; increased