In 1973 and 1974, the Organization of the Petroleum Exporting Countries (OPEC) imposed an embargo on shipments of crude oil to the United States. What followed was a drastic reduction in the quantity of gasoline available at local gas pumps. Congress imposed a price ceiling , or maximum price, of $0.57 per gallon of leaded regular gasoline. That price ceiling was intended to keep gasoline "affordable." 1) Using the line drawing tool, depict the effect of the crude oil embargo such that the free-market price would rise to $1.50 per gallon. (Draw any shift in a line parallel to the original line.) Properly label this line.
2) Using the point drawing tool, illustrate the quantity supplied at the price ceiling of $0.57 per gallon. Carefully follow the instructions above and only draw the required objects. U. S. Gasoline Market 1972-1974 0.00 0.25 0.50 0.75 1.00 1.25 1.50 1.75 2.00 Gallons per year Price per gallon ($) Upper D 1974Upper S 1972 Price Ceiling 0.57 interactive graph Click the graph, choose a tool in the palette and follow the instructions to create your graph.

Suppose that hubert, an economist from an am talk radio program, and kate, an economist from a nonprofit organization on the west coast, are arguing over government bailouts. the following dialogue shows an excerpt from their debate: kate: to recent financial crises, the concept of bailouts is a hot topic for debate among everyone these days. hubert: indeed, it’s gotten crazy! a government bailout of severely distressed financial firms is unnecessary because free markets will properly price assets. kate: i don’t know about that. without a bailout of severely distressed financial firms, the economy will experience a deep recession. the disagreement between these economists is most likely due todifferences in scientific judgments . despite their differences, with which proposition are two economists chosen at random most likely to agree? business managers can raise profit more easily by reducing costs than by raising revenue. central banks should focus more on maintaining low unemployment than on maintaining low inflation. employers should not be restricted from outsourcing work to foreign nations

Luc do purchased stocks for $6,000. he paid $4,000 in cash and borrowed $2,000 from the brokerage firm. he bought 100 shares at $60.00 per share ($6,000 total). the loan has an annual interest rate of 8 percent. six months later, luc do sold the stock for $65 per share. he paid a commission of $120 and repaid the loan. his net profit was how much? pls

Down under products, ltd., of australia has budgeted sales of its popular boomerang for the next four months as follows: unit salesapril 74,000may 85,000june 114,000july 92,000the company is now in the process of preparing a production budget for the second quarter. past experience has shown that end-of-month inventory levels must equal 10% of the following month’s unit sales. the inventory at the end of march was 7,400 units. required: prepare a production budget by month and in total, for the second quarter.