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You are a fleet manager for a transportation company and, as such, are interested in the changes in the gasoline market since gasoline is an
You are a fleet manager for a transportation company and, as such, are interested in the changes in the gasoline market since gasoline is an input of production for your company. A hurricane in the Gulf of Mexico disrupts oil refineries. In the short-run, you predict that this hurricane will, all else equal, Question 3Answer a. Increase the demand for gasoline, pushing up its price and increasing your company's profit. b. Increase the supply of gasoline, pushing down its price and increasing your company's profit. c. Decrease the demand for gasoline, pushing down its price and reducing your company's profit. d. Decrease the supply of gasoline, pushing up its price and reducing your company's profit
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