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Household Heterogeneity And Optimal Inter-Temporal Pricing For A Durable-Good Monopoly, Winston T. H. Koh

Research Collection School Of Economics

In this paper, I extend the analysis in Koh (2006) to examine the optimality of inter-temporal price discrimination for a durable-good monopoly in a model where infinitely-lived households consume both durable goods and a stream of non-durable goods subject to different inter-temporal budget constraints. I also consider the multi-dimensional setting where households differ in both inter-temporal budget constraints and the utilities they derive from the consumption of the durable good.