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Вы можете ознакомиться и скачать презентацию на тему Monopoly Behavior. Доклад-сообщение содержит 129 слайдов. Презентации для любого класса можно скачать бесплатно. Если материал и наш сайт презентаций Mypresentation Вам понравились – поделитесь им с друзьями с помощью социальных кнопок и добавьте в закладки в своем браузере.

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Monopoly Behavior

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A Scotsman phones a dentist to inquire about the cost for a tooth extraction : A Scotsman phones a dentist to inquire about the cost for a tooth extraction : — "85 pounds for an extraction, sir" the dentist replied. ** "85 quid ! Huv ye no'got anythin' cheaper ?„ — "That's the normal charge,” said the dentist. ** "Whit about if ye didn’t use any anesthetic ?„ — "That's unusual, sir, but I could do it and it would knock 15 pounds off". ** "What aboot if ye used one of your dentist trainees and still without any anesthetic ?"

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— "I can't guarantee their professionalism and it'll be painful. But the price could drop by 20 pounds.” — "I can't guarantee their professionalism and it'll be painful. But the price could drop by 20 pounds.” ** "How aboot if ye make it a trainin' session, have yer student do the extraction with the other students watchin' and learning‚?„ — "It'll be good for the students", mulled the dentist. "I'll charge you 5 pounds but it will be traumatic". ** " It's a deal,” said the Scotsman. "Can ye confirm an appointment for my wife next Tuesday then ?"

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How Should a Monopoly Price? So far a monopoly has been thought of as a firm which has to sell its product at the same price to every customer. This is uniform pricing. Can price-discrimination earn a monopoly higher profits?

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Capturing Consumer Surplus All pricing strategies we will examine are means of capturing consumer surplus and transferring it to the producer Profit maximizing point of P* and Q* But some consumers will pay more than P* for a good Raising price will lose some consumers, leading to smaller profits Lowering price will gain some consumers, but lower profits

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Capturing Consumer Surplus

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Capturing Consumer Surplus Price discrimination is the practice of charging different prices to different consumers for similar goods Must be able to identify the different consumers and get them to pay different prices Other techniques that expand the range of a firm’s market to get at more consumer surplus Tariffs and bundling

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Price discrimination Price discrimination requires the absence of resale

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Types of Price Discrimination 1st-degree: Each output unit is sold at a different price. Prices may differ across buyers. 2nd-degree: The price paid by a buyer can vary with the quantity demanded by the buyer. But all customers face the same price schedule. E.g., bulk-buying discounts.

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Types of Price Discrimination 3rd-degree: Price paid by buyers in a given group is the same for all units purchased. But price may differ across buyer groups. E.g., senior citizen and student discounts vs. no discounts for middle-aged persons.

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First-degree Price Discrimination Each output unit is sold at a different price. Price may differ across buyers. It requires that the monopolist can discover the buyer with the highest valuation of its product, the buyer with the next highest valuation, and so on.