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  • Jeerey K Mackie-Mason, Hal R Varian, Address Hal, R Varian, Jeffrey K Mackie-Mason
  • 1994
We describe the basic economic theory of pricing a congestible resource such as an ftp server, a router, a Web site, etc. In particular, we examine the implications of " congestion pricing " as a way to encourage efficient use of network resources. We explore the implications of flat pricing and congestion pricing for capacity expansion in centrally(More)
  • Jeerey K Mackie-Mason, Hal R Varian, Address Hal, R Varian, Jeffrey K Mackie-Mason
  • 1993
This paper was prepared for the conference " Public Access to the Internet, " JFK School of Government, May 26–27 , 1993. We describe the technology and cost structure of the NSFNET backbone of the Internet, and discuss how one might price Internet access and use. We argue that usage-based pricing is likely to be necessary to control congestion on the(More)
I describe a goodness-of-fit measure for revealed preference tests. This index can be used to measure the degree to which an economic agent violates the model of utility maximization. I calculate the violation indices for a 38 consumers and find that the observed choice behavior is very close to optimizing behavior.
  • Jeerey K Mackie-Mason, Hal R Varian, Address Jeffrey, K Mackie-Mason
  • 1994
We describe a generalization of the Vickrey auction. Our mechanism extends the auction to implement efficient allocations for problems with more than one good, multiple units for the goods, and externalities. The primary restriction on preferences is that they must be quasilinear.
The field of economic mechanism design has been an active area of research in economics for at least 20 years. This field uses the tools of economics and game theory to design ''rules of interaction'' for economic transactions that will, in principle, yield some desired outcome. In this paper I provide an overview of this subject for an audience interested(More)