We analyze third degree price discrimination by an upstream monopolist to a continuum of heterogeneous downstream firms. The novelty of our approach is to recognize that customizing prices may be costly. As a consequence, partial price discrimination arises in equilibrium; in particular,we...

We compare four approaches to network neutrality and network management regulation in a two-sided market model: (i) no variations in Quality of Service and no price discrimination; (ii) variations in Quality of Service but no price discrimination; (iii) variations in Quality of Service and price...

This paper studies optimal nonlinear pricing for a monopolist when consumers' preferences exhibit temptation and self-control as in Gul and Pesendorfer (2001a). Consumers are subject to temptation inside the store but exercise self-control, and those foreseeing large self-control costs do not...

We compare four approaches to network neutrality and network management regulation in a two-sided market model: (i) no variations in Quality of Service and no price discrimination; (ii) variations in Quality of Service but no price discrimination; (iii) variations in Quality of Service and price...

Carrying multiple brands and holding periodic sales are two common marketing strategies for sellers with market power. One puzzle is that sellers often employ diverse strategies in terms of using these two tools. This paper offers an explanation to this puzzle by providing a simple framework to...

According to current data regulations, consumers are mobile among different markets, which endogenizes market segmentation. When accommodating such strategic interactions, a segmentation is stable if no consumer can find a profitable deviation to another market. In every stable market...

This paper focuses on the question of whether the task of distributing the welfare between producers and consumers is in the domain or jurisprudence of courts or antitrust agencies. Indeed, these foundations are far away from the understanding introduced by Chicago school when the matter in hand...

We consider a monopoly supplying a homogeneous good to two separate markets with different demands. In one of the markets, some buyers do not know the quality of the good, but learn about it from observing prices. Under noisy demand, third-degree price discrimination is shown to alter the...

Fee discrimination is commonly used by marketplace platforms (e.g., Amazon, eBay, and Uber). To better understand how marketplace fee discrimination interacts with the hybrid platform business model, we model a marketplace platform that manages fees and categories across a continuum of retail...

This paper uses tools provided by lattice theory to describe the second-degree price discrimination problem faced by a monopolist seller of a network good, and to give a complete characterization of the optimal contracts it can use. We build a general model in a discrete and a continuous type...