Which of the following will occur if the supply curve for gasoline shifts to the left?

Question

Quizplus · Accepted Answer

When the supply curve for gasoline shifts to the left, there is a decrease in the quantity of gasoline supplied at any given price. This creates a shortage of gasoline, causing the price to rise. As a result, the quantity of gasoline demanded by consumers falls due to the higher price. This is known as the law of demand, which states that as price increases, the quantity demanded decreases. Therefore, option B is correct. Option A is incorrect because the demand for gasoline does not shift due to changes in supply. Option C is incorrect because a leftward shift in supply causes the price to rise, not fall. Option D is incorrect because while people may be dependent on gasoline, higher prices due to a decrease in supply will lead to a decrease in the quantity of gasoline consumed.

Which of the Following Will Occur If the Supply Curve