Question

Which of these is not a
feature of peak load
pricing?
1.A firm uses same facility to
supply in several markets

2.A firm sells in several
markets

3.Charging higher price during
the period of peak demand

4.Charging lower price during
the period of peak demand​

Answer 1

Answer:

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Answer 2

Option 4 is the correct answer.

Charging lower price during the period of peak demand is not a feature of peak load pricing.

• Peak load pricing is a form of price discrimination based on the time of maximum demand or peak periods i.e. higher price is charged during the period of peak demand and lower price is charged during the period of low demand.