A ‘Representative’ Model of Average-Cost Pricing

A. Koutsoyiannis
Additional contact information
A. Koutsoyiannis: University of Waterloo

Chapter 12 in Modern Microeconomics, 1975, pp 271-281 from Palgrave Macmillan

Abstract: Abstract Average-cost pricing models have been developed by various writers.1 Their basic characteristic is the postulate that price is set according to the average-cost principle The firm sets a price equal to its total average cost which includes a certain net profit margin. This pricing behaviour is assumed by the writers in this field to be different than the marginalist behaviour of the traditional theory of the firm. We will return to this point in section IV of this chapter, where we attempt to compare the average-cost theories with other theories of the firm.

Keywords: Profit Margin; Profit Maximisation; Price Determination; Pure Competition; Price Leader (search for similar items in EconPapers)
Date: 1975
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-15603-0_12

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349156030

DOI: 10.1007/978-1-349-15603-0_12

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().