Abstract
This paper investigates an uncertain price discrimination problem in labor market, in which the employee’s capability is his/her private information and characterized as an uncertain variable. To maximize the employer’s welfare, an uncertain price discrimination model in labor market is established. Moreover, a crisp equivalent form of the model is given, and the analytic solution is therefore obtained by employing variational method. This optimal solution shows that both the productivity and the wage are increasing with respect to the employee’s capability.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
Chen X and Liu B (2010) Existence and uniqueness theorem for uncertain differential equations. Fuzzy Optim Decis Mak 9(1):69–81
Cui L, Zhao R, Tang W (2007) Principal-agent problem in a fuzzy environment. IEEE Trans Fuzzy Syst 15(6):1230–1237
Fang F, Whinston A (2007) Option contracts and capacity management-Enabling price discrimination under demand uncertainty. Prod Oper Manag 16(1):125–137
Gabor A (1955) A note on block tariffs. Rev Econ Stud 23(1):32–41
Huang T, Zhao R, Tang W (2009) Risk model with fuzzy random individual claim amount. Eur J Oper Res 192(3):879–890
Lan Y, Zhao R, Tang W (2011) A bilevel fuzzy principal-agent model for optimal nonlinear taxation problems. Fuzzy Optim Decis Mak 10(3):211–232
Li X, Chien C, Li L, Gao ZY, Yang L (2012a) Energy-constraint operation strategy for high-speed railway. Int J Innov Comput Inf Control 8(10):6569–6583
Li X, Wang D, Li K, Gao Z (2012b) A green train scheduling model and fuzzy multi-objective optimization algorithm. Appl Math Model. doi:10.1016/j.apm.2012.04.046
Liu B (2007) Uncertainty theory, 2nd edn. Springer, Berlin
Liu B (2009) Theory and practice of uncertain programming, 2nd edn. Springer, Berlin
Liu B (2010) Uncertainty theory: A branch of mathematics for modeling human uncertainty. Springer, Berlin
Liu B (2012) Why is there a need for uncertainty theory? J Uncertain Syst 6(1):3–10
Liu Y, Ha M (2010) Expected value of function of uncertain variables. J Uncertain Syst 4(3):181–186
Pigou A (1920) The economics of welfare. MacMillan Press, London
Schön C (2010) On the optimal product line selection problem with price discrimination. Manag Sci 56(5):896–902
Yang L, Li K, Gao Z (2009) Train timetable problem on a single-line railway with fuzzy passenger demand. IEEE Trans Fuzzy Syst 17(3):617–629
Yang L, Gao Z, Li K, Li X (2012) Optimizing trains movement on a railway network. Omega Int J Manag Sci 40:619–633
Zhang B (2012) Capacity-constrained multiple-market price discrimination. Comput Oper Res 39(1):105–111
Zhu Y (2010) Uncertain optimal control with aplication to a portfolio selection model. Cybern Syst 41(7):535–547
Acknowledgments
This work is supported partially by National Natural Science Foundation of China (No. 71071106) and Program for Changjiang Scholars and Innovative Research Team in University (No. IRT 1028).
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
About this article
Cite this article
Wang, G., Tang, W. & Zhao, R. An uncertain price discrimination model in labor market. Soft Comput 17, 579–585 (2013). https://doi.org/10.1007/s00500-012-0933-2
Published:
Issue Date:
DOI: https://doi.org/10.1007/s00500-012-0933-2