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Price discrimination in airline marketplace

1. If the price of prunes relative to the price of plums fell, illustrate what could you infer about the interest rate?

2. Is human life priceless? Illustrate what evidence can you offer to support your contention?

3. Except for promotional purposes also price wars, airfare rates to Europe are higher in the summer than in the winter. Coach class airfare from Philadelphia to Los Angeles is cheaper than coach class airfare to Des Moines. First class airfare is always higher than coach class. Moreover, airlines charge lower fares to those who book seats well ahead of time than those who wait until the last minute. Are these all exs of price discrimination? Illustrate what additional information may be required before you can give a complete answer to this problem? Elucidate.

4. Compute: "The fact which some airplanes collide is evidence there is 'too little air traffic control'." (Be sure to Elucidate Illustrate what too little might mean.)

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M916382

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