Roland Perry wrote:
In message , at 10:56:26 on Fri, 7 Feb 2014,
Robin remarked:
Why should the TOCs allow free travel? At the very least what Boris
should do is pick up the tab for all TOC trips made by the over-60's,
*paying the regular price* whatever that is according to the time of
day. Surely the numbers for that will drop out of the Oyster computer
'at the press of a button'.

Why should the charge be based on "the regular price"?

Because that's what each over-60 would have paid, absent the discount card.

Sure, but most wouldn't have travelled at all.

That seems a
remarkably crude approach (c/f your own arguments about airline pricing
in December). Any normal person buying in such bulk would expect - and
get - a substantial discount as the TOCs get in return a secure source
of revenue with few overheads. What's wrong with starting from the
long-run marginal cost (LRMC) to the TOC (including of course loss of
revenue from other customers displaced) plus a profit margin?

Because many of the trains are already over-subscribed, and flooding them
with pass-holders may well put off regular travellers.

Not after 9:30. Plus Freedom pass holders on discretionary trips probably
avoid travelling on packed trains.