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Implementable Ramsey-Boiteux Pricing in Agricultural and Environmental Policy

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  • Jean-Marc Bourgeon
  • Robert G. Chambers

Abstract

Agricultural producers frequently face price discrimination that is based either on characteristics of their products, or on the physical manner in which the product is produced. We consider how to set such discriminatory prices optimally and show that for a very broad range of production technologies, the first-best voluntary policy, which involves a modified version of Ramsey-Boiteux pricing, is implementable even in the presence of hidden knowledge by farmers about their types. Copyright 2008, Oxford University Press.

Suggested Citation

  • Jean-Marc Bourgeon & Robert G. Chambers, 2008. "Implementable Ramsey-Boiteux Pricing in Agricultural and Environmental Policy," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(2), pages 499-508.
  • Handle: RePEc:oup:ajagec:v:90:y:2008:i:2:p:499-508
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    File URL: http://hdl.handle.net/10.1111/j.1467-8276.2007.01120.x
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    Cited by:

    1. Zhang, Ruojin, 2016. "The Effects of Residue Tolerance on Pesticide Use, Hop Marketing and Social Welfare," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235155, Agricultural and Applied Economics Association.
    2. Huiru Zhao & Sen Guo & Hongze Li, 2015. "Economic Impact Assessment of Wind Power Integration: A Quasi-Public Goods Property Perspective," Energies, MDPI, vol. 8(8), pages 1-26, August.
    3. Angelo Zago, 2005. "Tecnhnology estimation for quality pricing in supply-chain relationships," Working Papers 27/2005, University of Verona, Department of Economics.

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