reservation price
noun[C]
COMMERCEukus(alsoreserve price)theminimumpricethat you willsellaproductfor or themaximumpricethat you willpayfor something:
Thehousewas notsoldas thebuyerdid notmeetthereservationprice.
Examplesofreservation price
reservation price
Thus for each unit the seller tries to set the price equal to the consumersreservationprice.
From
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Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.The maximum price a consumer is willing to pay for a unit of the good is thereservationprice.
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.Reservationpriceis often referred to as the walk away point.
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.A buyer'sreservationpriceis the most amount (the maximum) or top line that the buyer is willing to pay.
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Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.The marginal consumer is the one whosereservationpriceequals to the marginal cost of the product.
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Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.Also known as thereservationpriceor private valuation.
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Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.Auctions may set areservationpricewhich is the least/maximum acceptable price for which a good may be sold/bought.
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.Thereservationpriceis used to help calculate the consumer surplus or the producer surplus with reference to the equilibrium price.
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.The consumer then buys the good as soon as it is equal to theirreservationprice, as they realize price will not fall further unless they purchase it.
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.The monopolist sets the price of the durable good at time "t" equal to the highestreservationprice of a consumer who hasn't purchased prior to that point "t".
FromThis example is from Wikipedia and may be reused under a CC BY-SA license.
Wikipedia
This example is from Wikipedia and may be reused under a CC BY-SA license.These examples are from corpora and from sources on the web. Any opinions in the examples do not represent the opinion of the Cambridge Dictionary editors or of Cambridge University Press or its licensors.