Was Jules Dupuit a Market Socialist: A Retrospective Note on Marginal Cost Pricing |
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| Authors: | Clarence C Morrison |
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| Institution: | (1) Indiana University, Bloomington, IN, USA |
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| Abstract: | This paper examines the extent to which Dupuit preceded Hotelling in the theory of marginal cost pricing and the relation
of marginal cost pricing to the Pigou–Robinson definition of exploitation, Coase’s multipart pricing, and the Kaldor compensation
principle. Tsuneki’s partial rehabilitation of Hotelling’s proof of MC pricing is partially endorsed.
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| Keywords: | Marginal cost pricing Pareto optimality Welfare optimization |
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