Nonlinear pricing of storable goods
This paper develops a model of nonlinear pricing of storable goods. We show that storability imposes novel constraints on a monopolist's ability to extract surplus. We then show that the attempt to relax these constraints can generate cyclical patterns in pricing and sales, even when consumers are homogeneous. Thus, the model provides a novel explanation for sales that does not rely on discriminating heterogeneous consumers. Enriching the model to allow for buyer heterogeneity in storage technology, delivers the prediction that larger bundles are more likely to be on sale.
Year of publication: |
2013
|
---|---|
Authors: | Hendel, Igal ; Lizzeri, Alessandro ; Roketskiy, Nikita |
Publisher: |
Evanston, IL : Northwestern University, Center for the Study of Industrial Organization (CSIO) |
Saved in:
freely available
Series: | CSIO Working Paper ; 0118 |
---|---|
Type of publication: | Book / Working Paper |
Type of publication (narrower categories): | Working Paper |
Language: | English |
Other identifiers: | 776848194 [GVK] hdl:10419/92485 [Handle] |
Source: |
Persistent link: https://www.econbiz.de/10010332126
Saved in favorites
Similar items by person
-
Nonlinear pricing of storable goods
Hendel, Igal, (2013)
-
Nonlinear pricing of storable goods
Hendel, Igal, (2014)
-
Nonlinear Pricing of Storable Goods
Hendel, Igal, (2014)
- More ...