Third degree price discrimination is the same aspersonalized pricing.personal discrimination.group pricing.none of the other answers are correct.menu pricing.

The measure that depicts charging different price levels for the same services or goods that are…

Answered: Third degree price discrimination is…

Third degree price discrimination is the same as personalized pricing. O personal discrimination. Ogroup pricing. O none of the other answers are correct. menu pricing.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter14: Indirect Price Discrimination

Section: Chapter Questions

Problem 3MC

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Concept explainers

Price Discrimination

Price discrimination or differential pricing is based on the principle that the seller will charge the buyer a price based on the buyer’s ability and willingness to pay for the product rather than applying uniform pricing for all.

Question

Third degree price discrimination is the same as
personalized pricing.
personal discrimination.
group pricing.
none of the other answers are correct.
menu pricing.

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Price discrimination leads to higher price for all consumer . True or false
In third-degree price discrimination, consumer groups with the largest price elasticity of demand will pay the lowest price compared to the consumer groups with smaller price elasticities. True or False.
Answer multiple choice
If price discrimination is the option to implement within the context of elasticity of demand, what pricing policy should be implemented in each market to raise total revenue?
First degree price discrimination is inefficient because the monopolist will extract the entire consumer surplus. True or False?
Which of the following if true would make it harder for a firm to practice price discrimination? Group of answer choices There is a market where buyers can resell what they buy. The firm knows about differences in demand across recognizable groups. The firm has market power.
One of the profit-boosting objectives of perfect price discrimination is to sell to every single customer whose marginal benefit your marginal cost. is double is less than is half exceeds.
Which of the following are necessary in order for price discrimination to occur?. a downward sloping demand curve one homogeneous group of customers no ability to prevent resale between customers operating in a monopoly both A and D above
You work for the only car rental company at an airport renting identical mid-size cars. They want to implement a price discrimination strategy. What price discrimination strategy would you recommend? The goal here is to get to you to think about the three things below. Focus your answer on them. You don't need to do any additional research. (1) Does your company have market power? (2) What are your market segments? (3) What information do you need?
Perfect price discrimination consists of Group of answer choices charging each customer their reservation price. charging each customer based on the marginal cost. basing price on the highest marginal cost the customer is willing to pay. charging each customer the lowest price they are willing to pay.
What is Price Discrimination? Charging individual customers, a different price for the same product Offering volume discounts Charging customer groups, a different price for the same product All of the above
Which of the following is NOT an example of price discrimination? All of the above are examples of price discrimination. Firms in a perfectly competitive industry charging higher prices during periods of high demand. IBM and HP deliberately reducing performance of low-end products. A movie theater offering student discounts on movie tíckets.