Optimal Subsidy Functions.

Abstract

The report discusses the specific problem of controlling a monopoly when market demand is used as the basis for measuring benefits. The control tool used to achieve the regulators objectives is called an 'optimal subsidy funtion'. It is shown that while such an optimal function always exists for the one good case, when more than one good is involved existence requires equality of the market cross derivatives of demand with respect to price. (Author)

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Document Details

Document Type
Technical Report
Publication Date
Nov 01, 1977
Accession Number
ADA051488

Entities

People

  • Gregory G. Hildebrandt

Organizations

  • United States Air Force Academy

Tags

DTIC Thesaurus Topics

  • Air Force
  • Colorado
  • Commodities
  • Compensation
  • Consumers
  • Differential Equations
  • Economics
  • Equations
  • Partial Differential Equations
  • Public Utilities
  • Regulators
  • Security
  • Social Sciences
  • Two Dimensional
  • United States
  • United States Air Force Academy

Fields of Study

  • Economics

Readers

  • Calculus or Mathematical Analysis
  • Economics
  • Operations Research