Speaker: 张霜剑研究员，复旦大学

Inviter: 邱国寰

Title: Monopolist problem: Existence, uniqueness, regularity of the optimal solutions and more

Language: Chinese

Time & Venue: 2025.09.25 10:00-11:00 思源楼S817

Abstract: The monoplist problem is one of the central problems in microeconomics with many applications. Existence, uniqueness, convexity/concavity, regularity, and characterization of the solutions have been widely studied since 1970s. For multidimensional spaces of agents and products, Rochet and Choné (Econometrica, 1998) reformulated this problem to a concave maximization over the set of convex functions, by assuming agent preferences combine bilinearity in the product and agent parameters with a quasilinear sensitivity to prices. We characterize solutions to this problem by identifying a dual minimization problem. This duality allows us to reduce the solution of the square example of Rochet-Choné to a novel free boundary problem, giving the first analytical description of an overlooked market segment, where the regularity built by Caffarelli-Lions plays a crucial role —— an extension of their regularity work to the quasilinear case is also recently studied.In this talk, I will first introduce the historical work on the principal-agent framework under the context of the monopolist problem before moving to the recent progress. The results profoundly connect with the Optimal Transport theory, a powerful tool with potential applications in many areas. This talk contains my joint work with Robert J. McCann and Cale Rankin.