What is Load Factor?
Load factor is the ratio between the extent of actual usage of equipment and the total time that it could be used. Thus, if equipment is running only 12 hours per day for six months of a year, it is operating at just 25 percent of its load factor for that period — an inexcusably low figure but not at all uncommon in today’s Price System society. The private automobile, for example, operates at a load factor no higher than five percent. 5.4.
