Spatial Monopoly Pricing in a Stochastic Environment

This paper reexamines the welfare implications of three pricing regimes (mill, uniform and discriminatory) for a monopoly in a stochastic environment. It con-siders a risk-averse monopolist faces two markets with stochastic and linear demands. The monopolist is assumed to commit to an irreversible price in each market before the uncertainty is resolved. Several unconventional results are shown to be triggered by the presence of demand uncertainty. The reason for the reversal of orthodox intuition is the asymmetry in the risk chacteristics of the markets and the willingness of the monopolist to trade increased level of expected prots for reduced risk.spatial pricing, monopoly, demand uncertainty

The silicate model and carbon rich model of CoRoT-7b, Kepler-9d and Kepler-10b

Possible bulk compositions of the super-Earth exoplanets, CoRoT-7b, Kepler-9d, and Kepler-10b are investigated by applying a commonly used silicate and a non-standard carbon model. Their internal structures are deduced using the suitable equation of state of the materials. The degeneracy problems of their compositions can be partly overcome, based on the fact that all three planets are extremely close to their host stars. By analyzing the numerical results, we conclude: 1) The iron core of CoRoT-7b is not more than 27% of its total mass within 1 $\sigma$ mass-radius error bars, so an Earth-like composition is less likely, but its carbon rich model can be compatible with an Earth-like core/mantle mass fraction; 2) Kepler-10b is more likely with a Mercury-like composition, its old age implies that its high iron content may be a result of strong solar wind or giant impact; 3) the transiting-only super-Earth Kepler-9d is also discussed. Combining its possible composition with the formation theory, we can place some constraints on its mass and bulk composition.Comment: 20 pages, 8figures, accepted for publication in RAA. arXiv admin note: text overlap with arXiv:0707.289