Exercise 4.3 Show why optimal third-degree price discrimination requires that the marginal income for each group of consumers be equal to the marginal cost. Use this condition to explain how a firm must alter its prices and total output if the demand curve of one of the consumer groups shifts outward, so that the marginal income corresponding to that group increases. (TdeR. 5, cap. 11 de PR9)
Exercise 4.3 Show why optimal third-degree price discrimination requires that the marginal income for each group of consumers be equal to the marginal cost. Use this condition to explain how a firm must alter its prices and total output if the demand curve of one of the consumer groups shifts outward, so that the marginal income corresponding to that group increases. (TdeR. 5, cap. 11 de PR9)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Exercise 4.3
Show why optimal third-degree
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