Artikel

Spatial monopoly pricing under non-constant marginal costs

The firm’s price policy decision is a central issue in spatial economics. Previous results show, e.g., that the specification of consumers’ demand functions is pivotal but mostly mill and uniform pricing are compared in a monopoly setting with constant marginal costs. The results in this paper highlight that some conclusions of prior work do not hold if the monopolist operates under non-constant marginal production costs. For instance, the optimal price is no longer independent of transport costs, and the welfare ranking of mill and uniform pricing also depends on the shape of the cost function.

Language
Englisch

Bibliographic citation
Journal: Letters in Spatial and Resource Sciences ; ISSN: 1864-404X ; Volume: 13 ; Year: 2020 ; Issue: 1 ; Pages: 81-97 ; Berlin [u.a.]: Springer

Classification
Wirtschaft
Market Structure, Pricing, and Design: Monopoly
Production, Pricing, and Market Structure; Size Distribution of Firms
Other Spatial Production and Pricing Analysis
Subject
spatial pricing
price discrimination
monopoly

Event
Geistige Schöpfung
(who)
Graubner, Marten
Event
Veröffentlichung
(who)
Springer
(where)
Berlin [u.a.]
(when)
2020

DOI
doi:10.1007/s12076-020-00246-1
Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Artikel

Associated

  • Graubner, Marten
  • Springer

Time of origin

  • 2020

Other Objects (12)