RDP 2007-12: Dynamic Pricing and Imperfect Common Knowledge
Equation (A4)
p
t
∗
=
(
1
−
β
θ
)
(
p
t
(
1
)
+
m
c
t
(
1
)
)
+
β
θ
p
t
+
1
|
t
∗
(
1
)
.
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