price theory


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price theory

an integrative body of MICROECONOMIC theory concerned with the determination of the EQUILIBRIUM MARKET PRICES and quantities transacted of goods and service. See THEORY OF DEMAND, THEORY OF SUPPLY, THEORY OF MARKETS, THEORY OF CONSUMER BEHAVIOUR, THEORY OF THE FIRM.
References in periodicals archive ?
I expect also research to move away from price theory into design and organization, where most competition takes place.
Technically that is known as the limit price theory in the old model of Cournot's Oligopoly.
1947) Price theory and oligopoly, Economic Journal, 57, pp.
There he will not only find numerous striking parallels between military and (oligopolistic) business strategy, but also a general approach which - while much less elegant than traditional price theory - promises a more realistic treatment of the oligopoly problem.
Conventional price theory expects high rates of substitution and entry when information is abundant and symmetric and barriers to penetrating the market are low.
1) Over the last thirty-five years, the Supreme Court and the lower courts have frequently relied on the Chicago school's use of price theory to help interpret the Sherman and Clayton Acts.
While some scholars, particularly from the "Chicago School," questioned these doctrinal results, their critique ironically rested upon a more precise account, also drawn from price theory, of the market power model than scholars invoking the workable competition model had offered.
abandon revealed preference, or conventional price theory, to justify
Second, there is no specification for any price theory at all.
The pursuit of producer surplus is fundamental; it provides a useful way to conceptualize entrepreneurial behavior within the familiar framework of neoclassical price theory.
Marglin's criticism of the market is rooted in a criticism of neoclassical price theory.