Alexander Wolitzky - Department of Economics, Massachusetts Institute of … - 2010
-setting problem of a monopoly that in each time period has the option of failing to deliver its good after receiving payment. The … monopoly may be induced to deliver the good if consumers expect that the monopoly will not deliver in the future if it does not … deliver today. If the good is non-durable and consumers are anonymous, the monopoly's optimal strategy is to set price equal …