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Seniority Seating at the Royal Opera House

Frank, J and Smith, E (1996) 'Seniority Seating at the Royal Opera House.' Oxford Economic Papers, 48 (3). 492 - 98. ISSN 0030-7653

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This paper examines lotteries and seniority queues as forms of commodity bundling price discrimination. There are good and bad seats, and two types of potential purchasers. Offered the choice of a high-priced good seat and a moderately-priced bundle of good and bad seats, customers self-select into high and low valuation types. For single-period purchases, the bundle is a lottery over good and bad seats. For repeated purchases, monopolists such as the Royal Opera House can do better by setting up a seniority allocation system.

Item Type: Article
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculty of Social Sciences > Economics, Department of
Depositing User: Jim Jamieson
Date Deposited: 29 Jun 2012 12:38
Last Modified: 17 Aug 2017 18:11

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