The Short-Run Approach to LRMC Pricing for Multiple Outputs with Nondifferentiable Costs

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.

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Year of publication:	2000-06
Authors:	Horsley, Anthony ; Wrobel, Andrew J
Institutions:	Suntory and Toyota International Centres for Economics and Related Disciplines, LSE
Subject:	Wong-Viner theorem \| multiple outputs \| peak-load pricing \| energy storage

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Extent:	application/pdf
Series:	STICERD - Theoretical Economics Paper Series.
Type of publication:	Book / Working Paper
Language:	English
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005310301