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5 Prices, market and money return

This discussion can also be used to investigate how prices are fixed by the market for risky products: in the long run, the sellers will reorient their activity if they don't obtain in the average at least the average remuneration for their capital. Thus the final price must contain not only the costs and the usual remuneration, but also (at least) an insurance for the risks.


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Previous: 4 Max-min problems Up: How Robust is a Next: Bibliography


douillet@ensait.fr
2005-05-13