HOUSEHOLD HETEROGENEITY AND OPTIMAL INTER-TEMPORAL PRICING FOR A DURABLE-GOOD MONOPOLY

Winston Koh

The Singapore Economic Review (SER), 2006, vol. 51, issue 03, 395-403

Abstract: In this paper, I extend the analysis in Koh (2006) to examine the optimality of inter-temporal price discrimination for a durable-good monopoly in a model where infinitely-lived households consume both durable goods and a stream of non-durable goods subject todifferentinter-temporal budget constraints. I also consider the multi-dimensional setting where households differ in both inter-temporal budget constraints and the utilities they derive from the consumption of the durable good.

Keywords: Durable good; monopoly; inter-temporal price discrimination (search for similar items in EconPapers)
Date: 2006
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DOI: 10.1142/S0217590806002494

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