The Chunnel Auto Tunnel Allows Motorists to Travel Between England

question 223

Multiple Choice

The Chunnel auto tunnel allows motorists to travel between England and France. As an alternative, there is ferry service across the English Channel. What would happen in the market for ferry service if fees for using the Chunnel were increased?

• A) The demand for ferry service would increase.
• B) The demand for ferry service would decrease.
• C) There would be an upward movement along the demand curve for transits through the Chunnel.
• D) There would be a downward movement along the demand curve for transits through the Chunnel.

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