The operator of the tunnel that links britain and france, Ask an Expert

Economics

The operator of the tunnel that links Britain and France, Eurotunnel, said that commercial and tourist traffic using its car and coach shuttle service had fallen sharply, leading to a drop in operating revenues of 4%. Eurotunnel's chief executive, blamed cut-throat competition from budget airlines?

If the CEO is correct, are the services of the airlines and Eurotunnel substitutes or complements? Use demand and supply analysis (i.e., market equilibrium) to explain how lower airfares between Paris and London impact the market for the shuttle services of Eurotunnel.

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91952882

Have any Question?Write your Review or question?

Related Questions in Business Economics

There are two firms that produce large commercial airplanes

There are two firms that produce large commercial airplanes, namely, Boeing and Airbus. Boeing and Airbus have different flight control systems, with many pilots preferring one system over the other. The Airbus A380 has ...

1 suppose that a big mac costs 579nbspin the us and chf 65

1. Suppose that a Big Mac costs $5.79 in the US, and CHF 6.5 in Switzerland. You are told that the exchange rate between $ and CHF is CHF=$0.5 From what you know about PPP theory and Law of One Price, the swiss franc is. ...

As a single parent earning on a limited income how can you

As a single parent earning on a limited income, how can you stretch your grocery dollar to plan nutritious meals for you and your children? Would you seek the assistance of federal programs?

A jewerly store paid a unit price of 250 less 40 16 8 for

A jewerly store paid a unit price of $250 less 40%, 16% , 8% for a shipment of designer watches. the store's overhead expenses are 65% of cost and the required profit is 55% of coat. a. What is the regular selling price ...

How the manager use the information supposed the

How the Manager use the information "supposed the macroeconomic forecast predict that the economy will be expanding in the near future" in an organization?

What causes the ppf to shift outward i think that resources

What causes the PPF to shift outward? I think that resources have to be used but i'm not sure.

This problem involves the flipping of a fair coin assume

This problem involves the flipping of a fair coin. Assume that the coin is flipped 3 times, and the random variable X is defined to be 4 times the number of heads minus 5 times the number of tails. How many different val ...

Use the following table to find thenbspsteady-state values

Use the following table to find the? steady-state values of the? capital-labor ratio and output if the? per-worker production function is y t = 2k t 0.3 . Saving rate (s) = 0.37 Depreciation rate = 0.04 population growt ...

Suppose the elasticity of money demand with respect to

Suppose the elasticity of money demand with respect to income is 2/3. If the money supply increases by 10% and output increases by 4.5%, while the real interest rate and the expected inflation rate are unchanged, then th ...

Tom works for a fruit company and found that the weights of

Tom works for a fruit company and found that the weights of pineapples are normally distributed with mean = 500 grams and standard deviation = 100 grams. a. If he randomly chooses 16 pineapples and measures their weights ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Economics Expert