第11篇 章 pricing with market power.ppt

2 of 35 ? 2008 Prentice Hall Business Publishing ? Microeconomics ? Robert S. Pindyck, 8e. Chapter 11: Pricing with Market Power * of 41 Copyright ? 2009 Pearson Education, Inc. Publishing as Prentice Hall ? Microeconomics ? Pindyck/Rubinfeld, 8e. Fernando Yvonn Quijano Prepared by: Pricing with Market Power 11 C H A P T E R Copyright ? 2009 Pearson Education, Inc. Publishing as Prentice Hall ? Microeconomics ? Pindyck/Rubinfeld, 8e. CHAPTER 11 OUTLINE 11.1 Capturing Consumer Surplus 11.2 Price Discrimination 11.3 Intertemporal Price Discrimination and Peak-Load Pricing 11.4 The Two-Part Tariff 11.5 Bundling 11.6 Advertising CAPTURING CONSUMER SURPLUS 11.1 Capturing Consumer Surplus Figure 11.1 If a firm can charge only one price for all its customers, that price will be P* and the quantity produced will be Q*. Ideally, the firm would like to charge a higher price to consumers willing to pay more than P*, thereby capturing some of the consumer surplus under region A of the demand curve. The firm would also like to sell to consumers willing to pay prices lower than P*, but only if doing so does not entail lowering the price to other consumers. In that way, the firm could also capture some of the surplus under region B of the demand curve. ● price discrimination Practice of charging different prices to different consumers for similar goods. PRICE DISCRIMINATION 11.2 First-Degree Price Discrimination ● first-degree price discrimination Practice of charging each customer her reservation price. Additional Profit from Perfect First-Degree Price Discrimination Figure 11.2 Because the firm charges each consumer her reservation price, it is profitable to expand output to Q**. When only a single price, P*, is charged, the firm’s variable profit is the area between the marginal revenue and marginal cost curves. With perfect price discrimination, this profit expands to the area between the demand curve and the marginal cost curve. ● variable profit Sum