In order to practice price discrimination, a firm must:
A. avoid detection by the government.
B. be able to divide consumers into groups with different demands for their product.
C. have a homogeneous product.
D. advertise their product.
Answer: B
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To economists, a game is:
A. a trivial pursuit that should not be used to analyze the economy or its actors. B. any situation in which players pursue strategies designed to achieve their goals. C. a way to simplify and minimize the true importance of situations like war. D. All of these statements are true.
When a second firm enters a monopolist's market, the initial demand curve facing the monopolist will:
A. shift to the left. B. shift to the right. C. remain the same. D. None of these
The brewing industry is dominated by a small number of very large producers who sell a differentiated product. The market structure that best fits the brewing industry is probably
A) perfect competition. B) monopolistic competition. C) monopoly. D) oligopoly.
All of the following entry methods provide firms with familiarity with a foreign market, expect which one?
A) partnership B) merger C) independent entry D) joint venture