Which of the Following Is an Example of Peak-Load Pricing

question 47

Multiple Choice

Which of the following is an example of peak-load pricing?

• A)Charging less for vacations to Hawaii during December and January.
• B)Charging more for electricity on hot days.
• C)Setting price equal to marginal cost when there is a capacity constraint.
• D)Selling excess capacity at lower prices.

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Definitions:

Conditioned Stimulus

A previously neutral stimulus that, after being associated with an unconditioned stimulus, elicits a conditioned response.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally triggers a response without any prior learning.

Conditioning

A technique where behavior change is achieved by making a subject associate a preferred behavior with an unrelated stimulus before the process.

Animal Models

Non-human species used in research to understand biological processes and diseases, simulating conditions comparable to human biology.