The Disequilibrium Approach to Monopolistic Price Setting and General Monopolistic Equilibrium.
Monopolistic price setting and equilibrium have had quite a long history in economics but still most contributions to general equilibrium theory continue to view the firm as a price taker. Recently a researcher, noticing that "there is no one left over whose job is to make a decision on price" advoc...
| Publicado en: | Review of Economic Studies Vol. 43; no. 1; pp. 69 - 82 |
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| Formato: | Artículo |
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Oxford University Press / USA
Feb76
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=4622872&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 4622872 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00346527 REM jtl: Review of Economic Studies issn: 00346527 maglogo: N pubinfo: dt: Feb76 vid: 43 iid: 1 pid: 622 pub: Oxford University Press / USA artinfo: ui: 4622872 10.2307/2296601 ppf: 69 ppct: 13 formats: tig: atl: The Disequilibrium Approach to Monopolistic Price Setting and General Monopolistic Equilibrium. aug: au: Benassy, Jean-Pascal su: Economic equilibrium Economics Monopolies Prices Negishi, T. Theory Demand function sug: subj: Economic equilibrium Economics Monopolies Prices Negishi, T. Theory Demand function ab: Monopolistic price setting and equilibrium have had quite a long history in economics but still most contributions to general equilibrium theory continue to view the firm as a price taker. Recently a researcher, noticing that "there is no one left over whose job is to make a decision on price" advocated a more realistic approach to price determination with firms behaving monopolistically and stressed particularly the relation between monopolistic and out-of-equilibrium behaviour. Monopolistic price setting was incorporated for the first time in a general equilibrium model in a brilliant paper by researcher T. Negishi. In this article, the author shall retain a basic feature of Negishi's paper: the perceived demand curve. The perceived demand curve gives the maximum quantity of a monopolized good that the monopolist thinks he can sell as a function of his price, given his market observations. Such a subjective perception is clearly much more realistic than the assumption that the monopolist knows the "true" demand curve facing him. So, each time the monopolist has to make a price decision, he re-estimates his perceived demand curve as a function of what he observes (notably his maximal possible sales) and then chooses the prices of the goods he controls. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y dt: @attributes: year: 1976 holdings: @attributes: islocal: N |
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