All of the following conditions, except one, must exist in order for a firm to successfully practice price discrimination. Which is the exception?
a. The firm must be a price taker.
b. The firm must be able to identify which customers are willing to pay more.
c. The firm must be able to prevent the resale of its output by low-price customers to high-price customers.
d. The firm must be able to charge higher prices to some customers without losing their business.
e. The firm must be a price setter.
A
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An economy that experiences a rise in the price level over two consecutive quarters necessarily experiences
A) a recession. B) deflation. C) disinflation. D) none of the above.
Fred enjoys smoking cigars, but his wife Wilma feels ill whenever she is around cigar smoke. Use the Coase theorem to explain how this problem could be solved without government involvement
What will be an ideal response?