Question

In: Economics

Every Wednesday there is an oil inventory Number given out by the Energy Information Administration (EIA)....

Every Wednesday there is an oil inventory Number given out by the Energy Information Administration (EIA). If the crude inventories decrease, what does that explain? Group of answer choices

c. Signal that demand outstrips production leading to lower prices.

a. Signal that demand outstrips production leading to higher prices.

d. Signal that production outstrips demand leading to higher prices

b. Signal that production outstrips demand leading to lower prices.

Solutions

Expert Solution

Answer - Signals that demand outstrips production leading to higher prices.

When there is decrease in inventory , it means that demand is higher than production. Higher demand leads to higher prices. Production will outstrip demand when inventories rise. Hence other options are wrong.

Rahul Sunny answered 2 years ago
Next > < Previous

Related Solutions

The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of regular gasoline is $3.98 The US EIA updates its estimates of average gas prices on a weekly basis. Assume the standard deviation is $.24 for the price of a gallon of regular gasoline and recommend the appropriate sample size for the US EIA to use if they wish to report each of the following margins of error at 95% confidence. Round up to the...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of regular gasoline is $3.95. The US EIA updates its estimates of average gas prices on a weekly basis. Assume the standard deviation is $.24 for the price of a gallon of regular gasoline and recommend the appropriate sample size for the US EIA to use if they wish to report each of the following margins of error at 95% confidence. Round up to the...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of regular gasoline is $2.94. The US EIA updates its estimates of average gas prices on a weekly basis. Assume the standard deviation is $0.25 for the price of a gallon of regular gasoline and recommend the appropriate sample size for the US EIA to use if they wish to report each of the following margins of error at 95% confidence. (Round your answers up...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of regular gasoline is $3.95 . The US EIA updates its estimates of average gas prices on a weekly basis. Assume the standard deviation is $.24 for the price of a gallon of regular gasoline and recommend the appropriate sample size for the US EIA to use if they wish to report each of the following margins of error at 95%confidence. Round up to the...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of...
The U.S. Energy Information Administration (US EIA) reported that the average price for a gallon of regular gasoline is $2.94. The US EIA updates its estimates of average gas prices on a weekly basis. Assume the standard deviation is $0.20 for the price of a gallon of regular gasoline and recommend the appropriate sample size for the US EIA to use if they wish to report each of the following margins of error at 95% confidence. (Round your answers up...
The Energy Information Administration (EIA) sampled 900 retail gasoline outlets and reported that, the national average...
The Energy Information Administration (EIA) sampled 900 retail gasoline outlets and reported that, the national average gasoline price for regular-grade gasoline to be $4.113 per gallon with a standard deviation of $0.11 per gallon. Construct a 95% Confidence Interval for mean price of regular-grade gasoline price.
The Energy Information Administration (EIA) sampled 900 retail gasoline outlets and reported that, the national average...
The Energy Information Administration (EIA) sampled 900 retail gasoline outlets and reported that, the national average gasoline price for regular-grade gasoline to be $4.113 per gallon with a standard deviation of $0.11 per gallon. Construct a 95% Confidence Interval for mean price of regular-grade gasoline price.
Given the following inventory information… Item number Unit cost Annual usage in units Current inventory in...
Given the following inventory information… Item number Unit cost Annual usage in units Current inventory in units B8867 10 100 4500 J1252 5.25 6500 120 K9667 1.22 4000 1000 L2425 12.5 54 254 M4554 5.25 6500 120 T6334 70 500 800 W9856 .75 800 20000 X2215 1.5 8000 2000 Y3214 70 1000 500 Y6339 4 3500 125 which of the following items is not classified as C items by annual dollar usage? Which is not classified as C items by...
A study by the U.S. Energy Information Administration found that 25% of households have an income...
A study by the U.S. Energy Information Administration found that 25% of households have an income under $10, 000 of which 84.3% did not own a dishwasher. However, it was found that only 21.8% of those in the over $10, 000 income range did not own a dishwasher. Find the following: (Note: round the answers to 2 decimal places) i) If one household is randomly selected from each income group, determine the probability that both households will own a dishwasher?  ...
1. According to the U.S. Energy Information Administration, the average household expenditure for natural gas was...
1. According to the U.S. Energy Information Administration, the average household expenditure for natural gas was $679 in the winter of 2013. Suppose that a random sample of 50 customers shows a mean expenditure of $712 and assume that the population standard deviation is $80. Test whether the population mean expenditure is greater than $679 using level of significance α = 0.05. State the p-value and conclusion. a) p-value = 0.0035; reject H0: there is evidence at level of significance...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT