IDEAS home Printed from https://ideas.repec.org/a/oup/ecinqu/v42y2004i3p413-424.html
   My bibliography  Save this article

Durable-Goods Monopoly with Privately Known Impatience: A Theoretical and Experimental Study

Author

Listed:
  • Werner Güth
  • Sabine Kröger
  • Hans-Theo Normann

Abstract

We analyze a durable-goods monopoly selling a single unit of a good to a buyer whose value of the good is private information. The discount factors of the buyer and the seller may differ and are also privately known. We derive the closed-form solution of a two-period game and compare it to the behavior observed in experiments. The data are to a large extent consistent with the predictions. (JEL C90, L12, C73) Copyright 2004, Oxford University Press.

Suggested Citation

  • Werner Güth & Sabine Kröger & Hans-Theo Normann, 2004. "Durable-Goods Monopoly with Privately Known Impatience: A Theoretical and Experimental Study," Economic Inquiry, Western Economic Association International, vol. 42(3), pages 413-424, July.
  • Handle: RePEc:oup:ecinqu:v:42:y:2004:i:3:p:413-424
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/ei/cbh070
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. van Damme, E.E.C. & Larouche, P. & Müller, W., 2006. "Abuse of a Dominant Position : Cases and Experiments," Discussion Paper 2006-020, Tilburg University, Tilburg Law and Economic Center.
    2. Bayer, Ralph-C., 2010. "Intertemporal price discrimination and competition," Journal of Economic Behavior & Organization, Elsevier, vol. 73(2), pages 273-293, February.
    3. repec:gam:jeners:v:11:y:2018:i:2:p:458-:d:132747 is not listed on IDEAS
    4. repec:gam:jgames:v:9:y:2018:i:1:p:10-:d:132752 is not listed on IDEAS
    5. Song, Yanan & Zhao, Xiaobo, 2016. "Strategic customer behavior facing possible stockout: An experimental study," International Journal of Production Economics, Elsevier, vol. 180(C), pages 57-67.

    More about this item

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • L12 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Monopoly; Monopolization Strategies
    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:ecinqu:v:42:y:2004:i:3:p:413-424. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Oxford University Press) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/weaaaea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.