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To solve for the consumer surplus in the gasoline market, given the price is $2 per gallon, let's follow the necessary steps:

### 1. **Understanding Consumer Surplus:**
   Consumer surplus is the area between the demand curve and the price level, up to the quantity demanded at that price. It is the difference between what consumers are willing to pay and what they actually pay.

### 2. **Analyzing the Graph:**
   From the graph:
   - The demand curve is linear, sloping downward from a price of $10 per gallon and a quantity of 0 gallons to a price of $0 and a quantity of 100,000 gallons per year.
   - The price of gasoline is fixed at $2 per gallon.
   - At $2 per gallon, consumers demand about 80,000 gallons (since the quantity intersects the demand curve at that price).

### 3. **Calculating Consumer Surplus:**
   The consumer surplus is the area of the triangle formed between the price level of $2 and the demand curve.

   - **Height of the triangle:** The vertical difference between the maximum price consumers are willing to pay ($10) and the actual price ($2), which is $ 10 - 2 = 8 $ dollars.
   - **Base of the triangle:** The quantity demanded at $2, which is 80,000 gallons.
   
   Using the formula for the area of a triangle:
   \[
   \text{Consumer Surplus} = \frac{1}{2} \times \text{Base} \times \text{Height}
   \]
   Substituting the values:
   \[
   \text{Consumer Surplus} = \frac{1}{2} \times 80,000 \times 8 = 320,000 \text{ dollars/year}.
   \]

Therefore, the total consumer surplus is **$320,000 per year**.

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Do you want further details or have any questions?

Here are 5 related questions to expand this topic:

1. What would happen to consumer surplus if the price of gasoline increased to $4 per gallon?
2. How do we calculate producer surplus in a similar market?
3. Can consumer surplus ever be negative?
4. How does elasticity of demand affect consumer surplus?
5. What happens to total welfare when taxes are imposed on gasoline?

**Tip:** When calculating areas under a curve for consumer or producer surplus, always check if the shape formed is a triangle or another geometric shape (e.g., trapezoid).

For the demand curve shown, find the total amount of consumer surplus that results in the gasoline market if gasoline sells for $2 per gallon.

Learn how to calculate consumer surplus in the gasoline market using the demand curve and price level. The consumer surplus is found by calculating the area of the triangle formed between the demand curve and price level, up to the quantity demanded. This example assumes gasoline is sold at $2 per gallon.

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