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A Critique on the Theory of Linear Price Monopoly

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Author Info
Nir Dagan

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Abstract

We show that the absence of friction between consumers is not sufficient for linear pricing by a monopolist. On the contrary, it is shown that this situation allows the monopolist to achieve perfect discrimination.

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File URL: http://www.nirdagan.com/research/199803/
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Publisher Info
Paper provided by Nir Dagan in its series Economic theory and game theory with number 016.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length: 4 pages
Date of creation: 15 Jan 1998
Date of revision: 25 Sep 1998
Handle: RePEc:nid:ndagan:016

Contact details of provider:
Postal: Nir Dagan, Dept. of Economics and Management, Tel-Hai Academic College, Upper Galilee, Israel.
Web page: http://www.nirdagan.com/research/

For technical questions regarding this item, or to correct its listing, contact: (Nir Dagan).

Related research
Keywords: Monopoly; linear pricing; friction; price discrimination;

Find related papers by JEL classification:
C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
D40 - Microeconomics - - Market Structure and Pricing - - - General

This paper has been announced in the following NEP Reports:

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