Consider the market for gasoline in Dane County, Wisconsin. Units of quantity and price are in Thousands of Gallons and $/gallon, respectively. We have the following information about the linear demand function 1. Market research shows that for an increase in price by $1/gallon, quantity demand decreased by 200 thousand gallons; 2. In addition, when the price is $1/gallon, 1800 thousand gallons of gasoline are demanded in the Dane County. We have the following information about the linear supply function: 1. Market research shows that for an increase in price by $1/gallon, quantity supplied increases by 100 thousand gallons; 2. In addition, when the price is $1/gallon, 900 thousand gallons of gasoline are supplied to Dane County. ANSWER THE FOLLOWING QUESTIONS: 1. Use the information to find the demand and supply function 2. Plot the demand and supply curve with Quantity on x-axis and Price on y-axis. 3. Clearly write the intercepts on both axes, and denote the area of consumer surplus and producer surplus. 4. Find the equilibrium price and quantity and the value of consumer and producer surplus. 5. What will be the price and quantity that maximize TR. 6. Suppose there is a pipeline rupture in the Midwest, causing a gasoline shortage Engineers have determined that pipeline capacity is reduced by 300 thousand gallons - meaning that, at every price level, there are 300 thousand fewer gallons of gasoline supplied to Dane County. 7. Which curve (demand or supply) is shifted? Which direction (leftward or rightward)? 8. Determine the equation (demand function or supply function) of the shifted curve. 9. Determine the equilibrium price and quantity 10. calculate the value of consumer and producer surplus after the pipeline rupture