Nescafe charge offer coffee at OMR 2 in Oman and 3 OMR in UK. This is an example for O a. Demand based pricing O b. Tax based pricing O c. Geographical pricing O d. Final pricing
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- Which of the following describes bundling as a form of price discrimination? O a. Customers with similar demographic characteristics are grouped together. O b. Customers with similar preferences are put in groups, each with a set price. O C. Different products are sold together at a cheaper total price than if sold separately. O d. A product is sold at a lower per-unit price if several units are bought together.b. Suppose a price-discriminating monopoly has segregated its market into two submarkets and can prevent resale between the two. Assume that its marginal cost is constant and equal to its average total cost of $8. The firm's demand schedule for the first group is given by the first two columns of the following table. Output Price MR TR AR 24 1 22 20 3 18 4 16 5 14 12 7 10 8 8When price discriminating by group, firms want to charge higher prices to customers with... O less elastic demand O more elastic demand O more elastic supply O less elastic supply
- By approximately how much did the price of the heart drug for babies increase when a monopoly was established?The monopoly supply curve is the O same as the competitive market supply curve. O portion of marginal costs curve where marginal costs exceed the minimum value of average variable costs. O result of market power and production costs. O none of the aboveCharging a price to different groups depending on their different demand elasticities is described as ... Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a b C Write your response here... d e Question 9 1st Deg Price Discrimination 2nd Deg Price Discrimination 3rd Deg Price Discrimination 2-part pricing Bundling
- Suppose a study shows that the demand for Brooks Brothers' ties is more elastic than the demand for all ties. What could be a likely explanation for this? The demand for Brooks Brothers' ties could be more elastic than the demand for all ties because O A. Brooks Brothers' ties are consumed over a shorter period of time. O B. Brooks Brothers' ties are more narrowly defined. OC. Brooks Brothers' ties are less costly. O D. Brooks Brothers' ties have fewer close substitutes. O E. Brooks Brothers' ties are more of a necessity.By the 21st century, few people purchased printed encyclopedias. Which of the following competitive forces best explains this? A. competition from substitutes O B. the bargaining power of buyers OC. the threat from potential entrants O D. the bargaining power of suppliersXYZ company uses a technology for producing its good. This enables the firm to meet the entire market demand at a lower price than its two competitors. What factor makes XYZ company a monopolist? O a. All of these O b. a legal barrier to entry. O c. Knowledge of exclusive production techniques O d. increasing average total costs.
- In a market where a monopolist can charge different prices to different groups, which of the following groups will likely be charged the lowest price?O a. the group for which the good is a necessityO b. the group for which the good makes up a large portion of income (big-ticket item)O c. the group for which the good has no good substitutesO d. the group for which the good makes up a small portion of income (small-ticket item)O e. The groups described in (a), (c), and (d) will all get charged a lower price than the group described in (b).QUESTION 13 With perfect price discrimination the monopoly O a. eliminates all price discrimination by charging each customer the same price. O b.charges each customer an amount equal to the monopolist's marginal cost of production. Oc. eliminates deadweight loss. O d. eliminates profits and increases consumer surplus. QUESTION 14 When there is a technological advance in the cheese industry, consumer surplus in that market will O a. Decrease. O b. Increase. Oc. not change, since technology affects producers and not consumers. O d. not change, since consumers' willingness to pay is unaffected by the technological advance. QUESTION 15 Consider a firm operating in a competitive market. The firm is producing 50 units of output, has an average total cost of production equal to 7 dirhams, and is earning 350 dirhams economic profit in the short run. What is the current market price? O a. 12 dirhams. Ob. 10 dirhams. O c. 11 dirhams. O d. 14 dirhams.1. From the give table calculate Elasticity of Price, Total Revenue and Marginal Revenue. Also, explain the relationship between AR and MR? price quantity 6 0 5 100 4 200 3 300 2 400 1 500 0 600