7. If a firm practices first-degree price discrimination, the firm must: (a) have customers with identical demand curves. (b) have complete information about each customer's unique demand curve before the customer buys the product. (c) be able to identify each customer's demand curve after the customer buys the product. (d) lack market power but know how its customers differ by their willingness to pay for the product. (e) (b) and (d) (f) (a) and (c) (g) (a) and (b) (h) (c) and (d) Answer: 7b.

7. If a firm practices first-degree price discrimination, the firm must: (a) have customers with identical demand curves. (b) have complete information about each customer's unique demand curve before the customer buys the product. (c) be able to identify each customer's demand curve after the customer buys the product. (d) lack market power but know how its customers differ by their willingness to pay for the product. (e) (b) and (d) (f) (a) and (c) (g) (a) and (b) (h) (c) and (d) Answer: 7b.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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