Article

The monopolist is not the best environmentalist's best friend : an example

Philippe Mahenc, and Marion Podesta

Abstract

This letter addresses the second-degree price discrimination issue when a monopolized product is tied with environmental quality. The monopolist may degrade environmental quality too much when marginal valuations of environmental quality and the good itself are positively related across consumers.

Keywords

Environmental quality; Public good; Price discrimination; Tying;

JEL codes

  • D14: Household Saving; Personal Finance
  • L12: Monopoly • Monopolization Strategies
  • Q10: General

Reference

Philippe Mahenc, and Marion Podesta, The monopolist is not the best environmentalist's best friend : an example, Economics Letters, Elsevier, vol. 115, n. 3, June 2012, pp. 379–382.

See also

Published in

Economics Letters, Elsevier, vol. 115, n. 3, June 2012, pp. 379–382