Do people care about the price of petrolSource: Department of Infrastructure, Transport, Regional Development and Local Government (2008), How Do Fuel Use and Emissions Respond to Price Changes, Commonwealth of Australia, at , viewed 19 August 2010; Sarah Wotherspoon (2008) ‘Petrol prices change how we live’, Herald Sun, 23 June, at< www.heraldsun.com.au >, viewed 18 August 2010.
Summary

Petrol, requirement for transportation, form over half of fuels used in Australia which has an impact of its substituted goods, vehicle, as its price change.
The change in price of petrol will not lead to a large change in its demand which means only a obvious expansion in price will lead to an evident contraction in demand.
The change in price will not only lead to a change in demand for petrol, it will also influence the sale for car and the type of transportation that consumer choose.
As the rise of the price of fuel in Australia the demand for the cars, which are large consumption in fuel, fall and the public choose to use the public transport increase.
The rise in the price also affects the other regions like tourism, resale and some other business activities due to the decrease of the real disposable income for consumer.

Do people care about the price of petrol
Petrol makes up just over half of all fuels used in domestic transport, followed by diesel at about one-third and liquefied petroleum gas (LPG) at around 6 per cent. Cars account for approximately 52 per cent of fuel used, truck and light commercial vehicles 33 per cent, aviation 8 per cent and rail around 3 per cent.
Petrol is a necessity for transport, although sometime in the future this may change as alternative sources of energy are developed. As with all necessities, when the price rises the quantity demanded tends not to fall by very much- at least not by the same proportion as the price rise. However, very large price increases can have…