Zero.Profit.PB: Find maximum profit for Pure Bundling strategy

Description Usage Arguments Value

Description

Find maximum profit for Pure Bundling strategy

Usage

1
Zero.Profit.PB(r1.r2, pb.min.max, c.1, c.2, alfa, beta, teta, FC)

Arguments

r1.r2

NX2 reservation prices of two goods []

pb.min.max

Vector

c.1

good 1 parameter of production cost

c.2

good 1 parameter of production cost

alfa

parameter of scale economics alfa = 0 –> CRS, alfa < 0 –> IRS, alfa < 0 –> DRS

beta

parameter of sope economics beta = 0 –> neutral, beta > 0 complementary, beta < 0 substitution

teta

parameter of complementary and substitution of goods beta = 0 –> neutral, beta > 0 complementary, beta < 0 substitution

FC

fixed Cost of production

Value

max.profit


tomvar/bundling documentation built on May 31, 2019, 6:20 p.m.