Assignment from nickkynickky
Read the Delhi Noida Direct DND Flyway
As you read the brief case consider the factors that are influencing the supply and demand for using the DND. Once you have read the case please respond to the following question (200+ words is expected):
1. Do you think that the toll should be increased, decreased or not changed?
In crafting your response please consider and discuss the factors that may be increasing or decreasing demand for the Flyway, and the shape of the supply curve (horizontal, vertical, or downward sloping) for Yamuna river crossing in the short-run (think of the short-run as the available supply of crossings tomorrow, as opposed to maybe 10 or 20 years from now).
And This is my answer:
I think the toll will be increased because the factors that will increase the demand are:
1- The growth steadily in DND Flyaway.
2- the two reasons, witch are the substantial commercial development and the sharply rising price of fuel, will help to increase the demand for DND flyaway.
3- the growth of population has been increased, so that will increase the demand.
Therefore, the demand will increase which will increase the revenue in coming years, but that depends about the DND’s capacity.
Because of the supply curve for Yamuna river crossing, I think that it will be downward sloping or still the same because of the full capacity.
But, I am not sure for this answer because this is the first class for me.
I hope you can give a clear answer with the feedback from my answer, and your answer.