The greater the number of segments the seller can identify in the market, the more distinct prices it can charge

Suppose that the demand for lava lamps is elastic, and the supply of lava lamps is inelastic. A tax of $2 per lamp levied on lava lamps will increase the price paid by buyers of lava lamps by

A. $1 B. less than $1 C. between $1 and $2. D. $2

The figure above shows the relationship between the price of a dozen roses and the quantity of roses a florist can sell. The slope between points B and C equals

A) 16. B) 8. C) 4. D) 2. E) 14.