Concerned about the political fallout from rising gas prices, the U.S. government decides to impose a price ceiling on gasoline of $4.00 a gallon. If the oil-producing nations increased production and drove the equilibrium price to $3.00 a gallon, of gasoline would emerge. The U.S. market for gasoline would be A. a shortage and a black market would emerge; inefficient OB. a surplus; efficient OC. a surplus and a black market would emerge; inefficient O D. neither a surplus nor a shortage; efficient OE. a shortage and a black market would emerge; efficient ...
Concerned about the political fallout from rising gas prices, the U.S. government decides to impose a price ceiling on gasoline of $4.00 a gallon. If the oil-producing nations increased production and drove the equilibrium price to $3.00 a gallon, of gasoline would emerge. The U.S. market for gasoline would be A. a shortage and a black market would emerge; inefficient OB. a surplus; efficient OC. a surplus and a black market would emerge; inefficient O D. neither a surplus nor a shortage; efficient OE. a shortage and a black market would emerge; efficient ...
Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter5: Elasticity Of Demand And Supply
Section: Chapter Questions
Problem 15PAE
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Transcribed Image Text:Concerned about the political fallout from rising gas prices, the U.S. government decides to impose a price ceiling on gasoline of $4.00 a gallon.
of gasoline would emerge.
If the oil-producing nations increased production and drove the equilibrium price to $3.00 a gallon,
The U.S. market for gasoline would be
A. a shortage and a black market would emerge; inefficient
OB. a surplus; efficient
OC. a surplus and a black market would emerge; inefficient
OD. neither a surplus nor a shortage; efficient
OE. a shortage and a black market would emerge; efficient
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