Assume That the Market for Executive Travel Is Perfectly Competitive

Multiple Choice

Assume that the market for executive travel is perfectly competitive.If the availability of time-sharing reduces transaction costs and the owner's cost of negotiating for a single trip, which of the following situations must occur?

A) The hours of flight available will increase.
B) The hours of flight available will decrease.
C) The cost of flying will remain steady.
D) The cost of flying will increase.