Using prices to promote efficiency in the utilization of bridges,
A)higher prices should be charged for the use of the most crowded bridges.
B)lower prices should be charged for the use of the uncrowded bridges.
C)traffic would be equalized among the bridges where space is a scarce resource.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

Charging higher prices for the use of the most crowded bridges will encourage people to explore alternative routes or modes of transportation, thereby reducing traffic congestion. On the other hand, charging lower prices for the less crowded bridges will encourage people to use those bridges, thereby reducing the pressure on the crowded bridges. By creating price incentives, traffic would be equalized among the various bridges where space is a scarce resource. Consequently, D, i.e., all of the above, is correct.

Using Prices to Promote Efficiency in the Utilization of Bridges