Question

Miles driven is approximately proportional to gasoline consumed for each driver. So what are the advantages of having drivers pay by the mile?

Answer 1

We all love to travel, but at the same time, we need to have a check on the economy of the travel, time and expenses will cover almost every cost in the traveling.

To answer this question, let us consider this story.

Suppose,

A family rented a car, and the driver. They needs to cover a few places in the sightseeing in some 'x' days.

Let us simplify it further, and x be two days.

Now, if they are paying per day and if they couldn't cover those places which are far apart in two days. Now they need to pay for extra money for the excess days consumed to complete the trip.

If they are paying per mile, the number of days of traveling was ruled out ( but you cant take as many days as you want to complete the trip) if there is a delay due to some climate changes or calamities.

We can resume the trip for that day and continue the journey on a successive day; there won't be any change in the expenses as the number of miles remains the same, and the gasoline consumed will also be unaltered.

Advantages

1. Independent of the number of days a trip is planned (there is no significant change in the number of days).

2. We pay only for what we have traveled.

3. We can estimate the expenses for traveling (Since we know the distance from place to place due to the technology)

4. If we have enough money (we can afford), we can ask for the new areas to cover, keeping the trip duration in mind.

5. Independent of the natural obstructions and calamities

I hope yo have understood.

All the Best.!

Please do mention your questions in the comments section.