Figure 4-25
Figure 4-25 illustrates the market for gasoline before the government imposes a tax to bring about the efficient level of gasoline production.
-Refer to Figure 4-25.The market equilibrium quantity of gasoline is ________ million gallons per month.

Question

Figure 4-25
  Figure 4-25 illustrates the market for gasoline before the government imposes a tax to bring about the efficient level of gasoline production.
-Refer to Figure 4-25.The market equilibrium quantity of gasoline is ________ million gallons per month.

Quizplus · Accepted Answer

The market equilibrium quantity is determined where the supply and demand curves intersect, which is at 48 million gallons per month.

Figure 4-25 Figure 4-25 Illustrates the Market for Gasoline Before