Chapter 11 Flashcards
1
Q
If the curve doesn’t shift what is it called?
A
Change in quantity demanded
2
Q
Types of passenger fares:
A
Normal
Common
Joint
Promotional
3
Q
What is a normal fare?
A
Charges passengers the direct flight from point A to B
4
Q
What is a common fare?
A
Charges passengers the flights from point A to C to B
5
Q
What is a joint fare?
A
Single fares that apply to transportation over joint lines or routes of 2 or more carriers
6
Q
What is a promotional fare?
A
A fare with restrictions
7
Q
What is a variable cost?
A
A cost that increases with the level of output or available seat miles
8
Q
What is a fixed cost?
A
Direct operating costs that don’t vary with available seat miles
9
Q
What are the major non price determinants of demand
A
- Preference of passengers
- Number of passengers at particular time
- Financial and income lever of pax
- Price of competition
- Pax expectations of future price
