16.3 Return to the nonlinear pricing problem facing the mon opoly coffee shop in Example 16.4, but...

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16.3 Return to the nonlinear pricing problem facing the mon opoly coffee shop in Example 16.4, but now suppose the proportion of high demanders increases to 2/3 and the proportion of low demanders decreases to 1/3. What is the optimal menu in the second-best situation? How does the menu compare to the one in Example 16.4?

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Microeconomic Theory Basic Principles And Extensions

ISBN: 9781473729483

1st Edition

Authors: Christopher M Snyder, Walter Nicholson, Robert B Stewart

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