The short-run approach to LRMC pricing for multiple outputs with nondifferentiable costs
Horsley, A. & Wrobel, A. J.
(2000).
The short-run approach to LRMC pricing for multiple outputs with nondifferentiable costs.
(TE 393).
Suntory and Toyota International Centres for Economics and Related Disciplines.
Using convex calculus, we extend the Wong-Viner Theorem to nondifferentiable costs by equating the capital inputs' rental prices to their profit-imputed marginal values. Thus extended, the short-run approach to LRMC pricing is applied to peak-load pricing with storage.
| Item Type | Working paper |
|---|---|
| Copyright holders | © 2000 the authors |
| Departments |
LSE > Academic Departments > Economics LSE > Research Centres > STICERD |
| Date Deposited | 12 Jul 2008 |
| URI | https://researchonline.lse.ac.uk/id/eprint/19338 |