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Discuss the concept of transportation demand

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Discuss the concept of transportation demand in relation to derived demand and its importance in the area of transportation for shippers and carriers. Provide at least two examples. Explain the difference between elastic and inelastic demand. The aggregate demand for transportation service is said to be inelastic while the demand for an individual mode or carrier is often elastic. Explain why this is important to carriers and shippers and why the two concepts are important to transportation demand.

Reference no: EM131030354

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