RDP 2007-12: Dynamic Pricing and Imperfect Common Knowledge
Equation (A2)
p
t
∗
(
j
)
=
(
1
−
β
θ
)
E
t
(
j
)
∑
i
=
0
∞
(
β
θ
)
i
(
p
t
+
i
+
m
c
t
+
i
(
j
)
)
MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamiCamaaDa aaleaacaWG0baabaGaey4fIOcaaOWaaeWaaeaacaWGQbaacaGLOaGa ayzkaaGaeyypa0ZaaeWaaeaacaaIXaaccaGae8NeI0IaeqOSdiMaeq iUdehacaGLOaGaayzkaaGaamyramaaBaaaleaacaWG0baabeaakmaa bmaabaGaamOAaaGaayjkaiaawMcaamaaqahabaWaaeWaaeaacqaHYo GycqaH4oqCaiaawIcacaGLPaaadaahaaWcbeqaaiaadMgaaaGcdaqa daqaaiaadchadaWgaaWcbaGaamiDaiabgUcaRiaadMgaaeqaaOGaey 4kaSIaamyBaiaadogadaWgaaWcbaGaamiDaiabgUcaRiaadMgaaeqa aOWaaeWaaeaacaWGQbaacaGLOaGaayzkaaaacaGLOaGaayzkaaaale aacaWGPbGaeyypa0JaaGimaaqaaiabg6HiLcqdcqGHris5aaaa@619A@