If the Demand for Air Travel Were to Change So

question 115

Multiple Choice

If the demand for air travel were to change so that business travelers and vacationers have the same price elasticity of demand for air travel,

• A) airlines would charge the same price to each type of flyer.
• B) airlines would still charge business flyers a higher fare since the traveler's employer pays anyway.
• C) airlines would be driven out of business.
• D) airlines would counter by charging vacationers a higher fare.

---

Definitions:

Uniform

Clothing of a distinctive design worn by members of a particular group as a means of identification, often used by military personnel, school students, and employees of certain companies.

Society

An organized group of persons associated together for religious, cultural, political, scientific, or other purposes.

Physiological Adjustments

Changes in the body's internal processes that enable an organism to respond to environmental stressors and maintain homeostasis.

Biological Adjustment

The process by which organisms adapt to changes in their environment or conditions, through physiological modifications or genetic evolution, to maintain homeostasis.