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Problem of quantity demanded during peak use hours

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Reference no: EM132032953

Electricity use in a small town is high as people get ready to leave for work and after they arrive home at the end of the day. During the middle of the day, household use of this utility is very low. Increasing capacity seems like a bad idea because resources would sit idle during the time people are at work.

The town council asks for your advice about the best way to solve the problem of quantity demanded during peak use hours. What advice would you give?

Choose one:

A. Decrease the supply of electricity during peak times.

B. Decrease the price of electricity during peak times.

C. Increase the price of electricity during peak times.

D. Increase the supply of electricity during peak times.

Reference no: EM132032953

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