Two-part pricing of differentiated goods

Details Two-part pricing of differentiated goods Two-part pricing of differentiated goods

2007-10-23

2007-10-23

Poinvil, Frantzy (Department: 3692)

Data processing: financial, business practice, management, or co

Automated electrical financial or business practice or...

Finance

C705S014270

Reexamination Certificate

active

09520123

ABSTRACT:
A method of making intellectual property goods available by determining and charging prices that reflect the value that consumers assign to an increased variety and quality of those goods available for their use. For this purpose, consumers are bundled into groups. Through a communications network members of the groups vote in samples on the purchase of personal, nontransferable usage rights of as many intellectual property goods as possible by stating their willingness to pay for desired outcomes. A pivotal tax levied on pivotal voters ensures truthful demand revelation. All nonvoting members of the group then pay for the use rights a price resembling the voting sample's revealed willingness to pay or, in case of an approval of the purchase of usage rights, the price the voting sample voted on.

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“Quality Variations in the Circular Model of Variety-Differenciated Products”; Nicholas Economides, 1993; Regional Science and Urban Economics 23: 235-257.
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