What assumptions can you make about how airlines adjusted

Assignment Help Microeconomics
Reference no: EM13391633

The demand for international flights in the US is, on average, less elastic to price than the demand for domestic flights. The demand for flights decreased during the recession of 2000. During this period the airlines operating internationally recorded a drop in the number of passengers while airlines operating domestically saw an increase. What assumptions can you make about how the airlines' adjusted their prices during the recession and why did the changes lead to these different outcomes in the number of passengers?

Reference no: EM13391633

Questions Cloud

Examine different types of passenger transportation and the : for a tourism destination to be successful it must have something that attracts tourists to the area. for this
On december 31 2013 jumble inc borrowed 1000000 at 10 : on december 31 2013 jumble inc. borrowed 1000000 at 10 payable annually to finance the construction of a new building.
What can we infer about characteristics of demand for : the airline market was deeply impacted by the recession of 2008 and by the following slow recovery. describe
Mazda beefed up the model with heavier shocks and a faster : mazdas miata convertible originally drew the most interest from women between the ages of 35-55. in order to interest
What assumptions can you make about how airlines adjusted : the demand for international flights in the us is on average less elastic to price than the demand for domestic
What are the implications of conflicts of interest and how : what are the implications of conflicts of interest and how do they impact corporations? using the sarbanes-oxley act of
Explain the cost-behavior patterns of variable and fixed : 1. explain the cost-behavior patterns of variable and fixed cost.2. identify examples variable and fixed costs.3. what
Determine the key strengths and weaknesses of your company : use the internet or the strayer library to familiarize yourself with an industry and then create a fictional start-up
The ski pro corporation which produces and sells to : the ski pro corporation which produces and sells to wholesalers a highly successful line of water skis has decided to

Reviews

Write a Review

 

Microeconomics Questions & Answers

  To determine the price of the policy

The company estimates the probability of no damage to be 0.60, the probability of damage between $0 and $10,000 to be 0.25. what should be the price of the policy.

  What is the effect of an increase in the quantity of money

What is the effect of an increase in the quantity of money What is the difference between real variables and nominal variables Are these variables affected by the quantity of money If so, how Use examples from the text, the South University Online..

  What circumstances will input choice be relatively similar

A Company operates plants in both the US (where capital is relatively cheap and labor is relatively expensive) & Mexico (where labor is relatively cheap and capital is relatively expensive). Under what circumstances will the input choice be relativ..

  Nbspfrom the scenario assuming katrinarsquos candies is

nbspfrom the scenario assuming katrinarsquos candies is operating in the monopolistically competitive market structure

  Financial ethics and compliance

What are some of the ethical dilemmas encountered by traders in their pursuit of profits for both their company and themselves?

  The walt disney company the creators of mickey mouse

Each of the following firms possesses market power. Explain its source. Merck, the producer of the patented cholesterol-lowering drug Zetia

  What if the fed wants to decrease money supply

Recently, the Fed is paying banks interests for their required reserves and excess reserves. This is now the fourth policy tool for the Fed to control money supply (in addition to the three policy tools summarized on p. 423.). what if the Fed want..

  How the vertical integration justify the investment

LG Electronics plans to invest 30 trillion won by 2010 to make this happen, hoping that the cost savings and reduction in risks associated with vertical integration justify the investment.

  Consider the following information produced by a market

consider the following information produced by a market research agency about a variety of soft drink your firm

  Explain predatory pricing

Which industry is more highly concentrated: one with a Herfindahl index of 900 or one with a four-firm concentration ratio of 78 percent?Assume that each of the remaining firms controls 1% of the market. How would you describe its market structure?

  Which a perfectly-discriminating monopolist is efficient

characterize the long run equilibrium of a perfectly competitive industry in which average costs are U-shaped as output increases, under both restricted and free entry.

  Why productivity standard for distribution of income rewards

Explain why the productivity standard for the distribution of income entails rewarding people based on their contribution to societys total output. Why does the productivity standard typically fail to yield an equal distribution of income

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd