Principles of Economics, 7th Edition

Published by South-Western College
ISBN 10: 128516587X
ISBN 13: 978-1-28516-587-5

Chapter 11 - Part IV - Public Goods and Common Resources - Problems and Applications - Page 231: 9

Answer

They might charge higher fares during rush hours because they know people have a higher willingness to pay more after working.

Work Step by Step

Additionally, the higher fares would provide an incentive for people to alter their schedules (to reduce traffic when demand is greatest).
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.

GradeSaver will pay $15 for your literature essays
GradeSaver will pay $25 for your college application essays
GradeSaver will pay $50 for your graduate school essays – Law, Business, or Medical
GradeSaver will pay $10 for your Community Note contributions
GradeSaver will pay $500 for your Textbook Answer contributions