Policy Analysis 2
In 1942, mandatory rationing of gasoline was implemented across the United
States on account of the war. In fact, gasoline was but one of hundreds of
goods rationed during this time.
For what main purpose was gasoline rationed? How much
gasoline was allocated to motorists using their cars for nonessential
purposes? Use an analysis similar to Application 2.3 in book to show and
explain using a graph how the rationing of gasoline may have altered the
welfare of motorists. Would all motorists be made worse off with rationing?
Explain why or why not, using a graph as necessary.
