Assumed Values
Oil Price	Supply	Demand	Cost	Profit
10	45	68	12	-90
20	50	65	12	400
25	55	64	12	715
30	60	62	12	1080
35	65	61	12	1495
40	68	60	12	1904
50	70	59	12	2660
60	72	55	12	3456
70	75	50	12	4350

  Because the decrease in quantity demanded is small compared to the increase in price charged, profits are maximized when less is produced than maximum production.

May 22, 2001