US High School Economics class: Legoland and Madame Tussauds owner to roll out surge pricing
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
This article picked by a teacher with suggested questions is part of the Financial Times free schools access programme. Details/registration here.
Read our full range of US High School economics picks here.
Specification:
Supply and Demand
Click to read the article below and then answer the questions:
Legoland and Madame Tussauds owner to roll out surge pricing
Why would you expect to pay more in peak holiday season for tickets than on a rainy day in March? What does this imply about customers’ elasticity of demand?
What fixed costs do theme park vendors have? What about variable costs?
How is surge pricing expected to affect profitability?
How do fixed vs variable costs affect the decision to implement surge pricing?
Ariel Slonim at MRU Econinbox
Comments