Chapter 2

"Call for more taxis in Vancouver"
CBC News 2006 November 9
http://www.cbc.ca/canada/british-columbia/story/2006/11/09/bc-taxis.html#skip300x250

According to a city councilor, Vancouver needs many more taxis before next summer in time for the tourist season. According to city councilor Suzanne Anton, the shortage of taxi service is damaging to the image Vancouver has with tourists. People wait way too long for taxis to come, and this causes our reputation to be threatened. There are times people have to wait outside from anywhere between 45 minutes to an hour or more, even on a busy street like Robson. That proves that there is a problem with the service Vancouver is providing to the general public as well as the tourists; we’re suppose to make feel welcome.
Taxi drivers recognize that there indeed is a problem with the lack of services provided. Bryant Ibbitson, a taxi driver, claims the problem is that there are not enough people willing to work. Its one thing to be working during weekends, but not every worker is too keen on working Friday and Saturday nights as well. Ibbitson believes that the trouble is not that there are not enough taxis, but finding committed drivers. He believes that even with an increase of cabs, they will most likely just be sitting on the lot.

Relation To Chapter 2

This article is connected to chapter 2 because it refers to the price elasticity of demand. Taxi service in Vancouver can not be substituted with anything, and its inexpensive for most, therefore it is inelastic. People are willing to pay for a wait in the rain, or snow for a ride, this shows that they would pay even if prices were to rise. When the price increases, the total revenue increases, and when the price decreases, it causes the total revenue to fall, showing again that taxi service is inelastic. Over time taxi service will slowly become more elastic. This is because time gives the ability to find substitutes.
Personally, I think that it is unfair how the taxi industry in Vancouver does such a poor job on supplying services for paying customers. The tourists especially deserve to be shown how great services we offer are.