The sensitivity of partially regulated second-best prices to intercommodity cross elasticities of demand

Ramsey prices for multiproduct monopolists with competitive fringe are shown to be sensitive to cross elasticities of demand. The sensitivity increases with size of cross elasticities, and with size of difference between ratios of cross elasticities and of own-price elasticities.

Saved in:
Bibliographic Details
Published in:Economics letters 1986, Vol.20 (3), p.277-281
Main Author: Janis, Russell A.
Format: Article
Language:English
Citations: Items that this one cites
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Ramsey prices for multiproduct monopolists with competitive fringe are shown to be sensitive to cross elasticities of demand. The sensitivity increases with size of cross elasticities, and with size of difference between ratios of cross elasticities and of own-price elasticities.
ISSN:0165-1765
1873-7374
DOI:10.1016/0165-1765(86)90038-8