Price discrimination occurs when a monopolist charges
a. both c and d
b. different prices to different buyers for different products
c. different prices to different groups of buyers, based on differences in the cost of providing the commodity to the buyer
d. different prices to different groups of buyers for reasons unrelated to the cost of providing the commodity to the buyer
e. all buyers the same price for the same product
D
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Which of the following does a social planner necessarily need to know to restore efficiency in a monopoly market?
A) The monopolist's marginal costs only B) The buyers' demand for a close substitute of the product sold in the market C) The monopolist's marginal revenue and the tax levied on the sale of the good D) The monopolist's marginal costs and the buyers' willingness to pay for the good
Which of the following is an example of a cartel?
a. AFL-CIO b. OPEC c. United Auto Workers Union d. NATO e. Organization of American States