What is the effect on price and quantity on flight tickets when the oil price has increased.

When oil price increased, the cost of production for plane company increase and supply will shift left. When supply sift left the price will increase and quantity will decrease.

ML
Answered by Max L. Economics tutor

1480 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

Should the United Kingdom Government rely on market forces to redistribute income and wealth, to make it fairer or intervene to do so?


The price of coffee beans rose from $1.15 to $1.40 between June and August 2017. A possible cause of this rise is: a) Improved weather conditions in coffee-growing countries; b) An increase in national minimum wage in coffee growing countries.


Explain the macroeconomic effects of tariffs


The price of tea in the UK increased from £7.20 per kilo to £8.48 per kilo. Over the same period the quantity of tea purchased fell from 97 million kilos to 76 million kilos. Calculate the price elasticity of demand for tea.


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences