When practicing price discrimination, a firm can increase its revenue by:
a. charging a higher price to the customers with a more inelastic demand.
b. charging a higher price to the customers with a perfectly elastic demand.
c. supplying more in a market with a more inelastic demand.
d. supplying less in a market with lower elasticity of demand.
e. charging a lower price in a market dominated by wealthy consumers.
a
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What will be an ideal response?
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