Problem
Demand and domestic supply curves for crude oil in the nation of Yacimiento are shown in the diagram. The world price for crude oil is $20 per barrel. Identify the quantity demanded at the world price. The government decides to lessen dependence on imported oil by imposing a quota on imports of .25 billion barrels. Draw the part of the new supply curve that will intersect the demand curve. Identify the new price of oil in Yacimiento and the quantity demanded at this price.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.