What is the key characteristic of profit maximizing price discrimination that distinguishes intertemporal price discrimination from peak-load pricing?
A) Peak-load pricing does not require MC = MR.
B) Marginal revenue may be different across different groups of buyers under intertemporal price discrimination.
C) Marginal costs are independent across time periods under peak-load pricing.
D) Marginal revenue must be constant under both pricing schemes.
C
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The financial market shock which occurred during the recession of 2007-2009 increased the default-risk premium, causing the
A) IS curve to shift to the right. B) IS curve to shift to the left. C) MP curve to shift up. D) MP curve to shift down.
Which of the following is an example of trade policy at the national level?
a. Congress passing legislation to prevent dumping. b. The European Union adopting a common currency c. The World Trade Organization holding a round of negotiations in France. d. The General Agreement on Tariffs and Trade being made.
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