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Airfares Are Generally Cheaper If They Include a Saturday Night

Question 130

Multiple Choice

Airfares are generally cheaper if they include a Saturday night stay at the destination. This is because


A) hotels give the airlines kickbacks to price this way.
B) business travelers are less likely than leisure travelers to be willing to stay Saturday night away from home, and business travelers will generally have more inelastic demand for air travel.
C) business travelers are less likely than leisure travelers to be willing to stay Saturday night away from home, and business travelers will generally have more elastic demand for air travel.
D) this reduces the demand for travel on Saturdays, which is a high-cost day to fly airplanes.

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