Examine two possible factors which may have influenced demand for rail travel since 2008

Edexcel A-Level Economics Paper 1 June 2020 Extract

With reference to Figure 2, examine two possible factors which may have influenced demand for rail travel since 2008. (8 marks)

One factor that might have caused an increase in the demand for rail travel since 2008 might have been an increase in the price of substitutes such as cars. As the price of cars increase, consumers look for alternatives. leading to an increase in the demand for rail travel. The extract shows that rail travel has become more popular, as passenger kilometers has increased from roughly 50bn in 2008 to 65bn in 2018.

Another reason that might have caused an increase in the demand for rail travel might have been an increase in the population as the population increases there are more people who would be willing and able to buy rail travel as part of their day-to-day activities, such as their commute to and from work.

However, there might also be other factors limiting demand from increasing. For example, changes in trends have meant that working from home has become more popular, and this limits the need for rail travel during and after covid.

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