The subway system in Washington,D.C., charges higher fares during rush hour. This is best described as an example of intertemporal pricing, rather than peak-load pricing.

Question

Quizplus · Accepted Answer

The practice of charging higher fares during rush hour is an example of peak-load pricing, which aims to manage demand during high-use periods, not intertemporal pricing, which involves changing prices over different time periods for reasons other than demand management.

The Subway System in Washington,D