Scenario 10-1 The demand curve for gasoline slopes downward and the supply curve for gasoline slopes upward. The production of the 1,000 gallon of gasoline entails the following: a private cost of $3.10. • a social cost of $3-55 a value to consumers of $3.70 Zefer to Scenario 10-1. Suppose the equilibrium quantity of gasoline is 1,150 gallons; that is, QMARKET 1.150. Then the equilibrium price of gallon could be a. $3.30. Ob. $3.80. C. $3.00. O d. $2.80.

Scenario 10-1 The demand curve for gasoline slopes downward and the supply curve for gasoline slopes upward. The production of the 1,000 gallon of gasoline entails the following: a private cost of $3.10. • a social cost of $3-55 a value to consumers of $3.70 Zefer to Scenario 10-1. Suppose the equilibrium quantity of gasoline is 1,150 gallons; that is, QMARKET 1.150. Then the equilibrium price of gallon could be a. $3.30. Ob. $3.80. C. $3.00. O d. $2.80.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter10: Externalities

Section: Chapter Questions

Problem 2CQQ

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