This paper argues that peak load pricing could relieve many of the transit industry's current financial problems by generating much needed revenue income, increasing efficiency and boosting ridership. However, time-of-day fares probably wouldn't significantly alter some of the maldistributive effects of uniform pricing. The paper initially reviews the theory of peak load pricing with regard to its applicability to the transit field and then examines competing pricing rationales. Empirical data from three California transit properties are then used to test these theories and to contrast the efficiency and equity implications of flat versus peak load pricing. Although the case for peak load transit pricing seems compelling, a number of obstacles still stand in the way of its widespread acceptance in America.

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  • Accession Number: 00390112
  • Record Type: Publication
  • Source Agency: Engineering Index
  • Files: TRIS
  • Created Date: Oct 30 1984 12:00AM