Peak Load Pricing: An Illustration through Kuhn-Tucker

Harmeet Singh Gulati; Deepinder Kaur

doi:https://doi.org/10.14445/22315373/IJMTT-V38P510

International Journal of Mathematics Trends and Technology

Research Article | Open Access | Download PDF

Volume 38 | Number 1 | Year 2016 | Article Id. IJMTT-V38P510 | DOI : https://doi.org/10.14445/22315373/IJMTT-V38P510

Peak Load Pricing: An Illustration through Kuhn-Tucker

Harmeet Singh Gulati, Deepinder Kaur

Abstract

“Peak Load Pricing” is a pricing strategy wherein the high price is charged for the goods and services during times when demand is at peak. This type of price discrimination is based on the efficiency i.e. a Firm discriminates on the basic of high usage, high-traffic, high demand times and low demand times. The consumer who purchases the commodity during the demand period has to pay more as compared to the one who buys during the low demand periods.

Keywords

Peak Load Pricing, Real Life Relation, Kuhn Tucker, Profit Maximization.

References

[1] Intermediate Micro Economics,A Modern Approach,HAL R.VARIAN,8th Edition.
[2] Linear Partial Differential Equations,Tyn Myint-U,Lokenath Debnath,4th Edition.
[3] Optimal Control Modelsi in Finance,Applied optimization,Ping Chen,Sardar M.N.Islam,Springers.
[4] Mathematics for Economics Analysis, KnutSydsaeter, Peter .J.Hammond, Pearson.

Citation :

Harmeet Singh Gulati, Deepinder Kaur, "Peak Load Pricing: An Illustration through Kuhn-Tucker," International Journal of Mathematics Trends and Technology (IJMTT), vol. 38, no. 1, pp. 70-72, 2016. Crossref, https://doi.org/10.14445/22315373/IJMTT-V38P510