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Changes in supply and demand

Last updated almost 6 years ago

5 questions

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1

1

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Question 1

1.

Which graph above is depicting what has happened to the market for oil as people continue to isolate?

Panel A

Panel D

Panel B

Panel C

Question 2

2.

Which graph above is depicting what will happen to the oil market if many producers go bankrupt?

Panel D

Panel C

Panel B

Panel A

Question 3

3.

If many oil producers do go out of business, what will be the impact on equilibrium price and quantity?

Equilibrium price and quantity both decrease

Equilibrium price increases and quantity decreases

Equilibrium price and quantity both increase

Equilibrium price decreases and quantity increases

Question 4

4.

With the dramatic increase in the demand for oil tanker ships, what has happened to equilibirum price and quantity of ships?

Equilibrium price decreases and quantity increases

Equilibrium price and quantity both decrease

Equilibrium price and quantity both increase

Equilibrium price increases and quantity decreases

Question 5

5.

Using graph 8 above if consumers return to driving and flying soon and oil producers release their excess capacity simultaneously, what happens to equilibrium price and quantity of oil?

Equilibrium price is indeterminant and quantity increases

Equilibirum price and quantity are both indeterminant

Equilibirum price decreases and quantity increases

Equilibrium price increases and quantity is indeterminant