Oil in Texas Assessment Review

How are prices determined in a free market?

• Prices are determined by supply and demand.

• Prices are fixed by manufacturers.

Was oil discovered in Texas before Spindletop?

• Yes, oil was discovered in Texas before Spindletop.
• No, oil was not discovered in Texas before Spindletop.

What structure is shown in the image?

• Radio antenna

• Oil Derrick

In which city in Texas is closest to Spindletop?

• Beaumont

• Dallas

What are some examples of an economic BUST in the oil industry?

• Many oil companies move to Beaumont

• overproduction of oil and loss of jobs

• Rapid population growth in a few short years

• Spindletop ran out of oil

What are some examples of an economic BOOM in the oil industry?

• Many oil companies move to Beaumont

• overproduction of oil and loss of jobs

• Rapid population growth in a few short years

• Spindletop ran out of oil

Which of the following was created as a result of the discovery of oil at Spindletop?

• Boomtowns

• Cotton

What was the purpose of the Texas Railroad Commission?

• To regulate oil prices and the railroad industry and oversee oil and gas production in Texas.

• To manage public transportation systems in Texas.

Who is a WILDCATTER?

• A wildcatter is a type of bird.

• A wildcatter is someone who explores for oil

If there is too much supply of a product, what does this tell us about the demand for the product?

• The demand for the product is low.

• The demand for the product is stable.