So, it is necessary to put barriers on the way of decrease in production lower than a Qp level. And, on the contrary, to create incentive for its growth. If not the simple, then available decision is such formula of penalties which would connect them with the size of utilization of capacity. It is possible to offer the following dependence:
Guarantee expenses. These are the expenses improving guarantee forms of service of consumers, for example, increase in term of guarantee maintenance, the simplified procedures of replacement of products, either knots, or materials, guarantee certificates in the help at operation, etc.
For this formula the following is characteristic. It, of course, stimulates production to the Qn level at which the profit size received by the monopolist is equal to Km*q, In this case the penalty of Sm is equal In all other cases a penalty positive, however it decreases as intensity of production comes nearer to the level meeting average rate of return. If Q> Qn, a penalty is also equal 0 about what tells the second condition of a formula At such stimulation the monopolist cannot count on profit, big, than Km*q, but he will surely receive it if wishes to provide level of production of Qn.
It is necessary to show that the profit and a turn for more elastic function of demand are big. Let's determine at first the price of production corresponding to the maximum turn. Let's make it for Qo1, and then we will generalize and for the second function. So,
Antimonopoly actions, as appears from the previous paragraph, it is necessary to apply in that case when i capacities - oh tops of the count are rather great in the sense that possibilities of production are limited not to resources of the available equipment, but the maximum indicator of profit. In other words, the monopolist (and in this case production is concentrated at one enterprise) does not use up to the end available production resources. In this case the monopolism acts as a bottleneck of a standard production system. In this case there is a problem of jointing of this place, that is weakening of action of effect of monopolization.
However, as it is easy to see, the similar penalty stimulates production just to that it remained at the level of Qp, that is would provide the maximum profit. Really, if the producer decided to let out less or more production, its profit, apparently from drawing and would be smaller while the penalty is constant.
where g - the average marketing expenses falling on elasticity reduction unit. If = 1, linear function takes place. If 1, function takes place. At last, if 1, function with the increasing expenses takes place.
The competition in each knot of the count, except the 1st, in itself, will not be able to solve a problem of deficiency of capacities. However it will be able to stimulate reduction of prices of intermediate products, and, therefore, and costs of production of the target final product of EOEP. Therefore, even in this case, introduction of the competition is desirable because it will provide more reliable sales market of a target product and opportunity to have additional profit for development of production and expansion of its bottlenecks. In the conditions of natural development possibility of receiving additional profit leads to growth of capital investments to this direction, and consequently and to expansion of scale of production, consumption and reduction of prices of this type of production. If productions, components of columns EOEP work in the conditions of the competitive market environment, at the expense of the accumulated profit even if it occurs in an exclusive link, natural prerequisites for expansion of production to the Qo level are created. As a result of this statement, the author notes the following. Under this condition, in particular, when Qij