Sentence examples for rational tariff from inspiring English sources

However, our empirical results suggest that the rational tariff choice is systematically biased, e.g., due the above-mentioned insurance effect (Lambrecht and Skiera 2006), the flexibility effect (Krämer and Wiewiorra 2012), the overestimation effect (Nunes 2000), or brand effects (Schlereth and Skiera 2012).

This paper develops and empirically validates a consumer surplus model that explains the optimal consumption pattern under cost cap tariffs and the conditions under which cost cap tariffs are chosen over pure pay-per-use and flat rate tariffs by a rational consumer.

In our empirical analysis, we can confirm such a cost cap bias, which exists over and beyond the rational choice of cost cap tariffs.

We now investigate the tariff choice of a rational consumer under uncertainty.

To conclude, the example demonstrates that CC tariffs may indeed present an optimal tariff choice for a rational and risk-neutral consumer under certain parameter conditions.

(CC consumption) A rational consumer of a cost cap tariff will never (expect to) consume exactly at the level at which the cost cap becomes binding.

Are Donald Trump's threats to impose tariffs on Chinese imports rational?

(CC choice under certainty) A rational consumer would never choose a cost cap tariff over a flat rate or pay-per-use tariff if he has certainty about his preferences.

The cost tariff applied was based on rational assumptions of the most likely resource use.

Rich-country farm subsidies and tariffs are outrageous by any rational measure.

Otherwise, the same logic as under certainty would apply and the CC tariff would never be chosen by a rational consumer.