Otalora, Usategui Díaz de; María, José - Departamento de Economía Aplicada III (Econometría y … - 2001
This paper derives and evaluates the decisions of a durable good monopolist in a context where demand for the services of the durable good changes over time. It shows that, if the size of the market decreases over time, social welfare may be higher when the monopolist has commitment ability than...