marginal cost

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Noun1.marginal cost - the increase or decrease in costs as a result of one more or one less unit of output
monetary value, price, cost - the property of having material worth (often indicated by the amount of money something would bring if sold); "the fluctuating monetary value of gold and silver"; "he puts a high price on his services"; "he couldn't calculate the cost of the collection"
References in periodicals archive ?
In this model, a socialist planner in a decentralized government-ownership economy adjusts prices in response to excess demand and thereby achieves marginal cost pricing and allocative efficiency.
Among specific topics are recent (1949-50) developments in the theory of marginal cost pricing, productivity incentive clauses and rate adjustment for inflation, market behavior with large amounts of intermittent generation, contract networks of electric power transmission, and lessons from the history of independent system operators in the energy sector.
Further, marginal cost pricing of loans will help the banks become more competitive and enhance their long run value and contribution to economic growth.
In such circumstances, there is a strong financial management case for fixing, say transport fares, at levels touching the minimum point of marginal cost schedule and any deficit caused to the exchequer by the minimum marginal cost pricing may be more than compensated by productive-cum-prudently managed subsidies (i.
Over the last few months cheap steel products from China have flooded the domestic markets due to subsidies on electricity and rebates on exports provided by the Chinese government to manufacturers they said adding: "Chinese manufacturers have resorted to dump their steel products in other countries by relying on government subsidies tariff concessions through Free Trade Agreement (FTA) and marginal cost pricing mechanisms.
Marginal cost pricing represents the additional cost caused by operating an additional train.
With a tightly enforced rule of marginal cost pricing of the shipped good, the MNE will have to forget about both improving the competitive position of its subsidiary in country B and any shifting of profits between the two countries.
In recent work with Severin Borenstein, I use nationally representative data to calculate the distributional impact of a transition to marginal cost pricing in U.
Part of the book was to cover direct regulation, but as he researched the subject (initially focusing on antitrust and cartelization in the chemicals and energy industries), he began to explore marginal cost pricing.
7 billion compared to marginal cost pricing, roughly 3 percent of total market value.
14) Since the aggregator charges a handling commission fee of size [beta] per unit of carbon offset, the equivalent of marginal cost pricing by the aggregator implies that [beta] = m.
Under Bertrand Competition, sellers undercut their rivals and the market outcome is marginal cost pricing.