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This paper characterizes nonlinear outlay schedules that are based on a cooperative surplus sharing game with transferable utility. First, the pricing game is shown to be convex and, as a consequence, to have a non-empty core. This is followed by a description of the necessary and sufficient...
Persistent link: https://www.econbiz.de/10005419349
If the preferences of the consumers are represented by utility functions that are differentiable, quasi-linear and satisfy the single-crossing condition, the characteristics of the profit maximizing nonlinear outlay schedule for a monopolist are well-known. We demonstrate that these...
Persistent link: https://www.econbiz.de/10005190579
n economy consisting of n=2 different types of consumers and one publicly owned natural monopoly is under consideration. The preferences of the consumers are assumed to be linear in money and the demand curves are assumed not to cross. We also suppose that the net utility from consumption is so...
Persistent link: https://www.econbiz.de/10005645105
An economy consisting of two different types of consumers and one publicly owned natural monopoly is under consideration. The preferences of the consumers are assumed to be linear in money and the demand curves are assumed not to cross. We also suppose that the net utility from consumption is so...
Persistent link: https://www.econbiz.de/10005645163
We consider nonlinear pricing policies that are designed by a social welfare maximizer who operates under a non-negative profit requirement. In our two-type economy, we characterize the set of all feasible nonlinear pricing policies and the frontier of the utility possibility set. Our results...
Persistent link: https://www.econbiz.de/10005645219