1. (ch2; 10 points) If the price of crude oil, an input into gasoline production, increases and the number of
people who own cars falls the equilibrium price of gasoline will:
a) increase, and the equilibrium quantity of gasoline will decrease.
b) decrease, and the equilibrium quantity of gasoline will be uncertain.
c) be uncertain, and the equilibrium quantity of gasoline will decrease.
d) be uncertain, and the equilibrium quantity of gasoline will increase.