Accession Number:

ADA051488

Title:

Optimal Subsidy Functions.

Descriptive Note:

Final rept.,

Corporate Author:

AIR FORCE ACADEMY COLO

Personal Author(s):

Report Date:

1977-11-01

Pagination or Media Count:

22.0

Abstract:

The report discusses the specific problem of controlling a monopoly when market demand is used as the basis for measuring benefits. The control tool used to achieve the regulators objectives is called an optimal subsidy funtion. It is shown that while such an optimal function always exists for the one good case, when more than one good is involved existence requires equality of the market cross derivatives of demand with respect to price. Author

Subject Categories:

  • Economics and Cost Analysis
  • Numerical Mathematics

Distribution Statement:

APPROVED FOR PUBLIC RELEASE