On the satisfaction of peak demand in the certainty case
The concept of full-capacity flat-rate equilibrium is explored for a version of the Arrow-Debreu model with time-differentiated goods and production subject to a capacity constraint. The corresponding equilibrium allocations are shown to be inefficient in general. It is also shown that rationing peak demand is Pareto superior to non-rationing.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Crew, Michael A & Fernando, Chitru S & Kleindorfer, Paul R, 1995. "The Theory of Peak-Load Pricing: A Survey," Journal of Regulatory Economics, Springer, vol. 8(3), pages 215-48, November.
- Stephen Spear, .
"The Electricity Market Game,"
GSIA Working Papers
2003-E17, Carnegie Mellon University, Tepper School of Business.
When requesting a correction, please mention this item's handle: RePEc:eee:mateco:v:44:y:2008:i:7-8:p:569-574. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.