Please use this identifier to cite or link to this item:
|Title:||The pricing mechanism to the buyer with a budget constraint and an indirect mechanism|
|Keywords:||Multi-dimensional mechanism; indirect mechanism; budget constraint; revelation principle|
|Citation:||Economics and Finance Discussion Papers, Brunel University, 05-07.|
|Abstract:||The present article considers the situation in which the buyer’s taste and budget are his private information. In this multi-dimensional setting, we study the optimal mechanism through a canonical mechanism in the traditional one-dimensional context: a function of one variable, the buyer’s taste. In our multi-dimensional context, however, this is an indirect mechanism. We investigate the effectiveness and limit of this indirect mechanism in the framework of the revelation principle.|
|Appears in Collections:||Economics and Finance|
Dept of Economics and Finance Research Papers
Items in BURA are protected by copyright, with all rights reserved, unless otherwise indicated.