The "Voluntary Bumping Plan" Used by Airlines to Resolve the Problem

question 55

Multiple Choice

The "voluntary bumping plan" used by airlines to resolve the problem of overbooked flights was developed by economist

• A) Adam Smith.
• B) John Maynard Keynes.
• C) Alan Greenspan.
• D) Julian Simon.

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Definitions:

Exponentially Smoothed Values

Values obtained using exponential smoothing, a technique to forecast data by giving more weight to recent observations.

Motor Oil Sales

The commercial activity of selling oil used for lubricating the engines of vehicles.

Exponentially Smoothed Sales

A forecasting technique that applies weighting factors which decrease exponentially over time, used to smooth time series data.

Biodiesel Sales

The volume or number of units of biodiesel fuel sold within a specific time period.