Question

Treat each of the following statements independently, and state whether make economic sense or not. (a)...

Treat each of the following statements independently, and state whether make economic sense or not.
(a) "Recent reductions in airfares among the major airlines have increased the demand for air travel."
(b) "The 9/11 terrorist attack on the NY Trade Center has decreased the demand for air travel."
0 0
Add a comment Improve this question Transcribed image text
Answer #1

(a) Makes economic sense because a fall in the price of airfare would induce the customer to travel more by plane rather than train or bus. Hence the demand for air travel increases.

(b) The 9/11 attack created a sense of insecurity among the consumer as they were unsure if the air travel is a safe option any longer. In the short term, customer tend to avoid air travel as a result the demand for air line service declined. This also makes an economic sense.

Add a comment
Know the answer?
Add Answer to:
Treat each of the following statements independently, and state whether make economic sense or not. (a)...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • I would like an executive summary on this case study. Thank you! 73 CHAPTER 2 Fatalie...

    I would like an executive summary on this case study. Thank you! 73 CHAPTER 2 Fatalie The Identification of Opportunities and Theats Fiect the fer any re sich im es Closing Case Plane Wreck: The Airline Industry in 2001-2004 Between 2001 and 2003 players in the global line indos iets at the gate. As a result of such flexible work rules, try lost some $30 billion, more money than the industry Southwest needs only 80 employees to support and fly...

  • In not more than twenty (20) words, state the theses of the following passages. Each thesis...

    In not more than twenty (20) words, state the theses of the following passages. Each thesis should be strong, precise and researchable. Question 3 (a) We wish to interrogate the effects of societal polarization – albeit negatively – the unending demand of citizens for probity and accountability from political leadership in Ghana. Encapsulating the political culture or attitude of the Ghanaian since the introduction of multi-party democracy in the 1950s are the elements of societal polarization, contestations and overtly partisan...

  • Hi can you help me make a summary about this short article and how it affects...

    Hi can you help me make a summary about this short article and how it affects me economically as US citizen? U.S. Carbon Emissions Surged in 2018 Even as Coal Plants Closed Passenger planes at the Phoenix airport in July. Greenhouse gas emissions from airplanes and trucking increased sharply in 2018.CreditAngus Mordant/Bloomberg Image Passenger planes at the Phoenix airport in July. Greenhouse gas emissions from airplanes and trucking increased sharply in 2018.CreditCreditAngus Mordant/Bloomberg By Brad Plumer Jan. 8, 2019 479...

  • Chapter overview 1. Reasons for international trade Resources reasons Economic reasons Other reasons 2. Difference between...

    Chapter overview 1. Reasons for international trade Resources reasons Economic reasons Other reasons 2. Difference between international trade and domestic trade More complex context More difficult and risky Higher management skills required 3. Basic concept s relating to international trade Visible trade & invisible trade Favorable trade & unfavorable trade General trade system & special trade system Volume of international trade & quantum of international trade Commodity composition of international trade Geographical composition of international trade Degree / ratio of...

  • Hi cam you help me make a summary about this short article, and how it affects...

    Hi cam you help me make a summary about this short article, and how it affects me economically as US citizen? Trump Has Promised to Bring Jobs Back. His Tariffs Threaten to Send Them Away. By Peter S. Goodman Jan. 6, 2019 HOLLAND, Mich. — Plants in every direction shut down and moved their operations to Mexico, succumbing to the relentless pressure to cut costs in an age of globalization. Not EBW Electronics. As the decades passed, the family-owned business...

  • Please read the case provided below and answer the following question: In 2007, JetBlue was a...

    Please read the case provided below and answer the following question: In 2007, JetBlue was a booming young airline with a strong reputation for outstanding service. In fact, the low-fare airline referred to itself as a customer service company that just happened to fly planes. But on Valentine's Day 2007, JetBlue was hit by the perfect storm-literally-of events that led to an operational meltdown. One of the most severe storms of the decade covered JetBlue's main hub at New York's...

  • I need Summary of this Paper i dont need long summary i need What methodology they used , what is the purpose of this...

    I need Summary of this Paper i dont need long summary i need What methodology they used , what is the purpose of this paper and some conclusions and contributes of this paper. I need this for my Finishing Project so i need this ASAP please ( IN 1-2-3 HOURS PLEASE !!!) SPECIAL ARTICLES tole of Monetary Policy C Rangarajan What should be the objectives of monetary policy? Does the objective of price stability conflict with the goal of achieving...

  • Refer to the following financial statements and answer the following questions hints:- 13. cash provided (used)...

    Refer to the following financial statements and answer the following questions hints:- 13. cash provided (used) by operating activities, investing activities, and financing activities. 14. cash-based net income. 15. estimate of uncollectible accounts receivable. 16. calculate and interpret accounts receivable ratio (most recent and prior period). hints:- 2:12 PM Wed Apr 15 39%). A 51.04cdn.com PART II NIKE, Inc. Consolidated Statements of Income in mWors, except per share data) Revenues Cost of sales Gross profit Demand creation expense Operating overhead...

  • Budgeting for an Academic Department at a State University: Can You Believe the Numbers? INTRODUCTION You...

    Budgeting for an Academic Department at a State University: Can You Believe the Numbers? INTRODUCTION You are the senior accounting faculty member in the business school and your dean, Dean Weller, is asking for help. She is very discouraged after a midyear budget meeting with the Vice President of Finance. The college's Department of Social Work has a large budget deficit, and because of this the VP is inclined towards closing the department entirely or closing its bachelor's program. The...

  • QUESTION 3 The textbook discusses 3 types of environmental degradation affecting the environment. Below, please match...

    QUESTION 3 The textbook discusses 3 types of environmental degradation affecting the environment. Below, please match each type of degradation discussed to the type of consequence suggested in the textbook. (Answer based on what the book says, not based on your personal opinion.) Air pollution A., is killinig humans 8,..isklin the earth Land poliution Water pollution address chiticar Watel Air Pollution Air pollution occurs when the release of materials to the atmosphere cannot be safelv disposed of by natural processes....

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT