The cost effect in third-degree price discrimination |
| |
| Authors: | Francisco Galera Markus Kinateder Pedro Mendi |
| |
| Institution: | 1. Department of Economics, Universidad de Navarra, Campus Universitario, 31080?, Pamplona, Spain
2. Navarra Center for International Development and Department of Business Administration, Universidad de Navarra, Campus Universitario, 31080?, Pamplona, Spain
|
| |
| Abstract: | In the presence of a non-constant marginal cost and demand uncertainty, we show that an output increase is no longer a necessary condition for welfare to increase following the introduction of third-degree price discrimination. We thus highlight the existence of an effect that might offset the well known output and misallocation effects of price discrimination. We propose a specific example where this is indeed the case. |
| |
| Keywords: | |
| 本文献已被 SpringerLink 等数据库收录！ |
|
