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Discussion Paper

An Empirical Analysis of Optimal Nonlinear Pricing

Published: February 2023
Researchers examine both decisions to buy a product and amount of product purchased as a function of price point and price continuum.

Using data from an educational-services firm on past successful and unsuccessful deals, researchers apply their method of developing a full price schedule rather than a single price point. They find that applying this method, in the case of these data, indicates that an optimal nonlinear tariff would result in an increase in firm profits.

Abstract and Citation

Soheil Ghili & Russ Yoon, 2023. "An Empirical Analysis of Optimal Nonlinear Pricing," Papers 2302.11643,