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Pricing Strategies in Oligopoly: Advanced Microeconomic Theory Insights

This lecture focuses on key pricing methodologies within oligopoly markets, specifically examining perfect price discrimination, competitive pricing, and single-price equilibria. It delves into practical applications such as Botox pricing, multimarket pricing strategies, and the impact of bundling tickets for sporting events. The analysis emphasizes European and American price disparities, illustrated through various figures and tables. Key concepts include two-part tariffs and quantity discrimination, offering a comprehensive understanding of pricing dynamics in competitive markets.

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Pricing Strategies in Oligopoly: Advanced Microeconomic Theory Insights

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  1. Lecture 7: Oligopoly Advanced Micro Theory MSc.EnviNatResEcon. 1/2006 Charit Tingsabadh

  2. Chapter 12 Pricing

  3. Table 12.1 A Theater’s Profit Based on the Pricing Method Used

  4. Figure 12.1Perfect Price Discrimination

  5. Figure 12.2 Competitive, Single-Price, and Perfect Discrimination Equilibria

  6. Application (Page 399)Botox Revisited

  7. Figure 12.3Quantity Discrimination

  8. Figure 12.3aQuantity Discrimination

  9. Figure 12.3bQuantity Discrimination

  10. Figure 12.4Multimarket Pricing of Aibo

  11. Figure 12.4aMultimarket Pricing of Aibo

  12. Figure 12.4bMultimarket Pricing of Aibo

  13. Table 12.2 Percentage by Which Europeans Pay More than Americans

  14. Figure 12.5 Two-Part Tariff

  15. Figure 12.5a Two-Part Tariff

  16. Figure 12.5b Two-Part Tariff

  17. Table 12.3 Bundling of Tickets to Football Games

  18. Cross-Chapter Analysis (Page 422) Docking Their Pay

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