Question

Can someone please explain these answers.

15) The price of a good will fall if              15) ______

A) demand for the good remains constant.

B) demand for the good increases.

C) supply of the good remains constant.

D) supply of the good decreases.

E) supply of the good increases.

17) Crude oil is a very important factor of production used in the production of gasoline. If the price of crude oil rises, we would expect the       17) ______

A) price of gasoline to rise due to an increase in demand.

B) equilibrium quantity of gasoline to rise due to an increase in demand.

C) price of gasoline to rise due to a decrease in supply.

D) equilibrium quantity of gasoline to fall due to an increase in supply.

E) price of gasoline to fall due to an increase in demand.

Answer 1

Q15
Answer
Option E
An increase in supply shifts supply curve to the right and increases quantity but decreases price.
An increase in demand increases price decrease in demand decreases price if demand is constant; there is no change in price.
An increase in supply decreases price and decrease in supply increases the price, and a constant supply has no change in price.
----------
Q16

anwer
option C

Price of input the crude oil rises the supply of gasoline decreases and shifts to the left. it decreases quantity in the new equilibriu and increases the price