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As we have recently experienced, the instability in the price of gasoline has created sudden increases in prices. Mostly these increases are from changes in the supply, but can the gas companies pass all the increases along to the consumer? Some of the gas companies would like to discover or test the elasticity of demand, or at what price will consumers stop buying gas and choose alternatives like carpools, public transportation, or riding a bicycle.

a) State the problem to be solved.
b) describe what type of research design(s) will be used.
c) describe what type of data collection should be selected.
d) Choose a measurement for this study and describe why

 

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