"Price discriminators lose money by being nice to their customers." Is the previous statement correct or incorrect?
What will be an ideal response?
The statement is incorrect—price discrimination allows the firm to increase its economic profit.
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Behavioral economists recommend mechanisms to help people actually do things they say they want to do but often don't. Such mechanisms are often called
A. savings rates. B. charitable donations. C. self-control. D. commitment devices.
An increase in the interest rate causes a decrease in the future value of $1,000 that you have in a bank account today
a. True b. False Indicate whether the statement is true or false
A typical automobile insurance policy is an example of:
A. property and casualty insurance. B. property insurance only. C. liability insurance only. D. casualty insurance only.
To an economist, utility means:
A) additional. B) usefulness. C) satisfaction. D) marginal.