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Figure: Shifts in Demand and Supply II
-(Figure: Shifts in Demand and Supply II)Use Figure: Shifts in Demand and Supply II.The figure shows how supply and demand might shift in response to specific events.Suppose vast new oilfields are discovered offshore of Newfoundland and gasoline prices fall.Which panel BEST describes how this will affect the market for sport utility vehicles,a complement in consumption of gasoline?

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Use the following to answer questions:
Figure: Shifts in Demand and Supply II 
-(Figure: Shifts in Demand and Supply II)Use Figure: Shifts in Demand and Supply II.The figure shows how supply and demand might shift in response to specific events.Suppose vast new oilfields are discovered offshore of Newfoundland and gasoline prices fall.Which panel BEST describes how this will affect the market for sport utility vehicles,a complement in consumption of gasoline?

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When gasoline prices fall due to the discovery of new oilfields, the demand for sport utility vehicles, which are complements in consumption, is likely to increase. Panel (a) shows an increase in demand, which is the best representation of this scenario.

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