Essay
Exhibit 3-5 
-Refer to Exhibit 3-5 for the demand and supply model of the world oil market (in millions of barrels per day).
(A)Is there a shortage or surplus of oil at a price of $18.00 per barrel? Why? What is the quantity of shortage or surplus?
(B)Is there a shortage or surplus of oil at a price of $17.50 per barrel? Why? What is the quantity of shortage or surplus?
(C)What is the equilibrium price and quantity in this market?
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(A) There is a surplus of 65 million bar...View Answer
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