Viscous Demand
27 Pages Posted: 23 Oct 2008
Date Written: August 1999
Abstract
In many markets, demand adjusts slowly to changes inprices, i.e., demand is "viscous." For such a market, the time path of a firm'sprices acquires added significance, compared with the case of instantaneousdemand response. In this paper I explore some problems in strategic dynamicpricing of a service, in the presence of viscous demand, for simple models of amonopoly and a duopoly.
Suggested Citation: Suggested Citation
Radner, Roy, Viscous Demand (August 1999). NYU Working Paper No. IS-99-04, Available at SSRN: https://ssrn.com/abstract=1288440
Do you have negative results from your research you’d like to share?
Feedback
Feedback to SSRN
If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday.