Unpriced Quality Number
Title: Unpriced Quality Number
Author: COURTY, Pascal
Publisher: European University Institute
Series/Number: EUI ECO; 2009/16
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.
Subject: Price discrimination; second degree price discrimination; queuing; rationing; D42; D45
Type of Access: openAccess