caa a22 4500 469075961 CHVBK 20180323132935.0 cr unu---uuuuu 170328e19920601xx s 000 0 eng 10.1007/BF00157162 doi (NATIONALLICENCE)springer-10.1007/BF00157162 Disutility and constrained quality choice in self-selection problems [Elektronische Daten] [Jae-Cheol Kim, Byong-Hun Ahn, Hyun-Joo Moon] This paper analyzes the self-selection problem in a monopoly market where (i) consumer types are characterized by both utility of service and disutility of interrupted service and (ii) qualities (reliabilities) are interdependent. We derive behavior of a profit-maximizing monopolist in offering self-selection menu of price and reliability and in choosing capacity investment. We further analyze welfare distortions of the monopolistic behavior. The major findings are: (i) depending on the magnitude of utility and disutility, either consumer type may end up with zero surplus, (ii) the possibility of inefficient production may lead to idle capacity, and (iii) depending on the consumer preference structure, the monopolist's investment is lower than, equal to, or higher than the socially optimal level. Kluwer Academic Publishers, 1992 Kim Jae-Cheol Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut Ahn Byong-Hun Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut Moon Hyun-Joo Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut Journal of Regulatory Economics Kluwer Academic Publishers 4/2(1992-06-01), 159-173 0922-680X 4:2<159 1992 4 11149 https://doi.org/10.1007/BF00157162 text/html Onlinezugriff via DOI 1 research-article jats NATIONALLICENCE 856 40 https://doi.org/10.1007/BF00157162 text/html Onlinezugriff via DOI NATIONALLICENCE 700 1- Kim Jae-Cheol Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut NATIONALLICENCE 700 1- Ahn Byong-Hun Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut NATIONALLICENCE 700 1- Moon Hyun-Joo Korea Advanced Institute of Science and Technology, 373-1 Kusong-dong Yusong-gu, 305-701, Taejon, Korea aut NATIONALLICENCE 773 0- Journal of Regulatory Economics Kluwer Academic Publishers 4/2(1992-06-01), 159-173 0922-680X 4:2<159 1992 4 11149 Metadata rights reserved Springer special CC-BY-NC licence nationallicence BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-springer