Suppose you are trying to get a ticket for the next

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Chapter 22 / Exercise 3
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38. (2 point) Suppose you are trying to get a ticket for the next home football game but tickets have sold out. You and many of your friends are disappointed because you were all willing to buy a ticket but you are unable to get in. What does this tell us about the economics of this football game? 1.The official ticket price is below the market equilibrium price. 2.The market is not in equilibrium. 3.It is likely the market is not producing the greatest possible economic surplus for society. 4.All of the above 5.None of the above
39. (1 point) Which of the following is necessary for an economy to achieve economic efficiency?
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Chapter 22 / Exercise 3
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10Figure B Suppose the following figure represents the market for gasoline. Use this figure to answer the following 3 questions. 40. (1 point) This market will have a predicted equilibrium price of _____ for a gallon of gasoline and a predicted equilibrium sales of ______. 12345678910111213140102030405060708090100110120130140150Price in U.S. dollarsMarket SupplyMarket DemandQuantity in millions of gallons
41. (2 points) Which of the following will happen if this market has an advertised price of $3 per gallon?
012345678910111213140102030405060708090100110120130140150Price in U.S. dollarsMarket SupplyMarket DemandQuantity in millions of gallons
1142. (2 points) Suppose an increase in the minimum wage causes the supply of gasoline to decrease and concerns about global warming cause the demand for gasoline to decrease. Which of the following is the best prediction about the impact on the gasoline market from these two simultaneous shifts in demand and supply? 1.Pe will end up below $7 per gallon and there will be a shortage of gasoline 2.Pe will end up above $7 per gallon and there will be a surplus of gasoline. 3.Pe will remain unchanged and we will remain at the old equilibrium quantity of gasoline bought and sold. 4.Pe might end up above, below or at $7 per gallon but we can be sure that fewer than 60 million gallons will be bought and sold. 5.None of the above

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