The figure below shows the supply curves for gasoline for two oil companies (MaxOil and MagnusPetro). It would be useful to find the equations of the two supply curves to answer the questions below.

-Refer to the figure above.The total demand curve has the vertical intercept at ________ and its slope changes at ________.

Question

The figure below shows the supply curves for gasoline for two oil companies (MaxOil and MagnusPetro). It would be useful to find the equations of the two supply curves to answer the questions below.
 
-Refer to the figure above.The total demand curve has the vertical intercept at ________ and its slope changes at ________.

Quizplus · Accepted Answer

The vertical intercept of the total demand curve is at a price of 2.00 euros, where the quantity demanded is 20,000. The slope changes at a quantity of 30,000, where the demand curve becomes more elastic due to the presence of alternative fuels and substitutes. Therefore, the correct answer is (C) 2.00 euros; 5.00 euros.

Note: The equations for the supply curves of MaxOil and MagnusPetro cannot be determined from the information given in the question.

The Figure Below Shows the Supply Curves for Gasoline for Two