Question

Can you help me describe this situation in using microeconomic terminology?

The article I found published on March 23, 2020, in New York. The article is about "Gasoline prices in the wholesale and futures markets crashed on Monday as more states issued stay-at-home orders, severely dampening demand for fuel" (Domm, 2020).
As many people are staying at home to stop spreading of COVID-19, it causes the market to go down. Primarily, gas prices. Many people refuse to leave the house and drive and seem to be continued to go down. According to the article, Patti mentioned that in some areas, the price of gasoline could be below $1 a gallon. This is considering 20% in a matter of a week.

Answer 1

According to microeconomics terminology this is a simple case of demand and supply where it has to be observed that due to the decrease in the demand of gasoline for weeks due to covid 19, the demand curve shifted to the left as a result of which equilibrium price of gasoline decrease in that way and the equilibrium quantity also decreased