Question

The demand for gasoline tends to increase during times when many people go on vacation. This is largely due to the fact that

more people are on the roads and more people need to fill up their gas tanks. The times of highest demand tend to be the summer
and on holidays, such as Memorial Day the Fourth of July, and Thanksgiving.
What is the likely effect of this high demand on gasoline prices?
The supply of gasoline will increase.
The demand for gasoline will decrease.
B.
C.
The price of gasoline will decrease
D.
The price of gasoline will increase.

Answer 1

D. The Price of Gasoline will Increase

Step-by-step explanation:

Two additional factors that may affect gasoline prices include population density and the availability of public transportation. Population density determines the number of potential gasoline customers—that is, the potential demand for gasoline.