|
The Determination of Marginal Cost Prices under a Set of Axioms
Dov Samet
Yair Tauman
Abstract
This paper presents a set of axioms which characterize a family of price mechanisms for consumption goods, including marginal cost prices and Aumann-Shapley prices. By strengthening one of the axioms, marginal cost prices are characterized and by requiring that cost is shared the Aumann-Shapley prices are characterized. A discussion of the economic interpretation of the axioms is also provided.
|
