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Network Pricing Models

In: Pricing Non-marketed Goods using Distance Functions

Author

Listed:
  • Rolf Färe
  • Shawna Grosskopf
  • Dimitris Margaritis

Abstract

The black box technology is effectively either a very simple or reduced-form model of production. In this chapter, we build on a growing literature introduced by Färe and Grosskopf and a number of their co-authors and colleagues which attempts to look inside the black box and has come to be known in the DEA world as Network DEA (for an overview, see Färe, Grosskopf and Whittaker, 2014). Here, we use this approach to introduce ‘transfer’ pricing, which can be framed as a static multi-plant model or as a model over time…

Suggested Citation

  • Rolf Färe & Shawna Grosskopf & Dimitris Margaritis, 2019. "Network Pricing Models," World Scientific Book Chapters, in: Pricing Non-marketed Goods using Distance Functions, chapter 6, pages 43-51, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789813277618_0006
    as

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