Peak-load pricing in a neoclassical model with bounds on variable input utilization

Journal Article · · Bell J. Econ.; (United States)

DOI:https://doi.org/10.2307/3003624· OSTI ID:6809874

Marino, A M

The technological assumptions of the standard neoclassical model of peak-load pricing are modified by considering the case where the level of capital input bounds the set of feasible choices of the variable input. Two basic changes occur: (1) optimal capacity production is possible and (2) optimal prices paid by peak (capacity) users and their contributions to fixed cost may not be equal.

• Research Organization: Univ. of Kansas, Lawrence
• OSTI ID: 6809874
• Journal Information: Bell J. Econ.; (United States), Journal Name: Bell J. Econ.; (United States) Vol. 9:1; ISSN BJECD
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290100 -- Energy Planning & Policy-- Energy Analysis & Modeling
290200* -- Energy Planning & Policy-- Economics & Sociology
296000 -- Energy Planning & Policy-- Electric Power
CAPACITY
CAPITAL
CHARGES
COST
ECONOMIC ANALYSIS
ECONOMICS
ELECTRIC UTILITIES
MATHEMATICAL MODELS
PEAK-LOAD PRICING
POWER DEMAND
PUBLIC UTILITIES
RATE STRUCTURE