A note on expanding networks and monopoly pricing
AbstractWe obtain explicitly the optimal path of prices for a monopolist operating in a network industry during a finite number of periods. We describe this optimal path as a function of network intensity and horizon length and show that the prices are increasing in time and that, for very low network intensity, or very high horizon length, the monopolist will offer the good at zero price in the initial period.
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Bibliographic InfoArticle provided by Elsevier in its journal Economics Letters.
Volume (Year): 98 (2008)
Issue (Month): 1 (January)
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Web page: http://www.elsevier.com/locate/ecolet
Other versions of this item:
- GABSZEWICZ, Jean J. & GARCIA, Filomena, 2005. "A note on expanding networks and monopoly pricing," CORE Discussion Papers 2005095, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Jean J., GABSZEWICZ & Filomena, GARCIA, 2005. "A Note on Expanding Networks and Monopoly Pricing," Discussion Papers (ECON - DÃ©partement des Sciences Economiques) 2005063, Université catholique de Louvain, Département des Sciences Economiques.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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