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Ride-Hailing Could Lead to More Road Congestion An American study says ride-hailing companies Uber and Lyft, now arriving in Canada, bolster public transit by extending

Ride-Hailing Could Lead to More Road CongestionAn American study says ride-hailing companies Uber and Lyft, now arriving in Canada, bolster public transit by extending its reach from the first to the last mile. Another view is that they undermine public transit by providing a lower-cost service that worsens congestion.Source:

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March 10, 2017Are Uber rides and transit rides complements or substitutes? Explain your answer.

Uber rides and transit rides are _______.

A.

complements because Uber rides are a lower-cost alternative to transit rides

B.

complements when people take Uber to extend a journey started with transit, and substitutes when people can take either Uber or transit to arrive at a destination

C.

substitutes because congestion is worse with Uber rides than with transit rides

D.

substitutes when people with low incomes prefer Uber rides over transit rides and complements when people with high incomes prefer transit rides over Uber rides.

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