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Unpriced Quality

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Author Info
Pascal Courty

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Abstract

A monopolist deliberately charges the same price for differentiated products when high quality products are more likely to be allocated to low type consumers under uniform pricing. The argument can explain the use of ‘unpriced quality’ for concert tickets, sport events, and in many other situations.

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File URL: http://cadmus.eui.eu/dspace/bitstream/1814/10929/1/ECO_2009_16.pdf
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Publisher Info
Paper provided by European University Institute in its series Economics Working Papers with number ECO2009/16.

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Date of creation: 2009
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Handle: RePEc:eui:euiwps:eco2009/16

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Related research
Keywords: Price discrimination; second degree price discrimination; queuing; rationing;

Find related papers by JEL classification:
D42 - Microeconomics - - Market Structure and Pricing - - - Monopoly
D45 - Microeconomics - - Market Structure and Pricing - - - Rationing; Licensing

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Connolly, Marie & Krueger, Alan B., 2006. "Rockonomics: The Economics of Popular Music," Handbook of the Economics of Art and Culture, Elsevier. [Downloadable!] (restricted)
    Other versions:
  2. Mussa, Michael & Rosen, Sherwin, 1978. "Monopoly and product quality," Journal of Economic Theory, Elsevier, vol. 18(2), pages 301-317, August. [Downloadable!] (restricted)
  3. Richard J. Gilbert & Paul Klemperer, 2000. "An Equilibrium Theory of Rationing," RAND Journal of Economics, The RAND Corporation, vol. 31(1), pages 1-21, Spring.
    Other versions:
  4. Holt, Charles A, Jr & Sherman, Roger, 1982. "Waiting-Line Auctions," Journal of Political Economy, University of Chicago Press, vol. 90(2), pages 280-94, April. [Downloadable!] (restricted)
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Statistics
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This page was last updated on 2009-11-12.

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