The diagram shows the supply curve for the number of spaces in a car park, while the demand curves indicate demand for spaces on four separate days, D1, D2, D3 and D4. The owner wants to set a parking fee on each of these days so that the spaces are allocated by the market mechanism. Which pricing policy should the owner adopt?
- Aset a fixed price at P1
- Bset a fixed price at P4
- Cvary prices between P2 and P3
- Dvary prices between P1 and P4