You are the only clothes producer in the industry. You can choose a price that .

You can choose a price that maximizes your profits.

Explanation:

If you are the only clothes producer in the industry, it is known as monopoly. Monopoly means a single seller selling a unique product without competition.

The monopoly seller has the right to choose the price for his goods. He can fix the price in the way to maximize his profit. As he is the sole seller, he will not have any competitions in the industry. This in turn helps him to make lot of profit on producing clothes with full freedom in fixing the price of the clothes.

1.  Supply

2.  Lower

Explanation:

The supply curve of any product is a representative of the relationship between the price of that product and the quantity of product the supplier is willing and able to supply at any given point in time.

However, factors that determines supply curve of goods are but not limited to the following:

1. Cost of production

2. Investment capacity

3. Technological advancement

4. Lower taxes

5. Large reserves of main raw materials

Hence, with the discovery of a large reserve of crude oil, which is one of the many factors that affects supply curve, it will result in SHIFT OF SUPPLY CURVE of the gasoline. At the same time, as there is shift in supply chain of the gasoline, it will results into LOWER equilibrium price due to increase in supply but decrease in demand.

Therefore, The discovery of a large new reserve of crude oil will shift the SUPPLY curve for gasoline, leading to a LOWER equilibrium price.