Table 4-B -Refer to Table 4-C

Multiple Choice

Table 4-B
$\begin{array}{ccc}\text { Price per gallon } &\text { Quantity Demanded }&\text { Quantity Supplied of } \\&\text { (thousands of gallons) }&\text { gasoline (thousands of }\\&&\text { gallons) }\\\$ 4.50 & 600 & 2,000 \\\$ 4.25 & 700 & 1,900 \\\$ 4.00 & 800 & 1,800 \\\$ 3.75 & 950 & 1,700 \\\$ 3.50 & 1,200 & 1,600 \\\$ 3.25 & 1,500 & 1,500 \\\$ 3.00 & 1,800 & 1,400 \\\$ 2.75 & 2,100 & 1,300 \\\$ 2.50 & 2,400 & 1,200\end{array}$

-Refer to Table 4-C.If the government were to remove a price ceiling of $2.00 per gallon in the milk market, the result would be:

A) a decrease in price and increase in the quantity of milk supplied.
B) a decrease in price and increase in the quantity of milk demanded.
C) an increase in both price and the quantity of milk supplied.
D) an increase in both price and the quantity of milk demanded.
E) the market price of milk would remain constant and the quantity of milk supplied would equal the quantity demanded.