Question

Which statement best explains the economic effects of the situation

described in this passage?
There is a conflict between the United States and several
oil-producing countries in the Middle East. As a result,
these countries have refused to sell any gasoline to U.S.
businesses.
A. The supply of oil in the United States has decreased.
B. The supply of oil in the United States has increased.
C. The demand for oil in the United States has increased.
D. The demand for oil in the United States has decreased.

Answer 1

The situation described in the passage would result in a decrease in the supply of oil in the United States and an increase in the demand for oil.

Step-by-step explanation:

The economic effects of the situation described in the passage would result in a decrease in the supply of oil in the United States. As several oil-producing countries in the Middle East have refused to sell gasoline to U.S. businesses, it would lead to a decrease in the availability of oil. This decrease in supply would likely cause an increase in the demand for oil in the United States as businesses and consumers compete for the limited supply.

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