Suppose that half of the existing airline companies shut down and more consumers are opting for land transportation instead of air transportation. What are the possible outcomes for the equilibrium price and the equilibrium quantity in the market for airlines tickets? Draw graphs to illustrate your answer.

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The Answer of Suppose that half of the existing airline companies shut down and more consumers are opting for land transportation instead of air transportation. What are the possible outcomes for the equilibrium price and the equilibrium quantity in the market for airlines tickets? Draw graphs to illustrate your answer.

Suppose That Half of the Existing Airline Companies Shut Down