Which of the following is a reason why a firm would not engage in price discrimination?
A) The transactions costs associated with selling the product exceed the price of the product.
B) Some firms do not want to violate the law of one price.
C) Some firms are not able to segment the market for the products they sell.
D) Price discrimination is illegal in some western states and the owners of firms in these states face civil or criminal prosecution if they engage in price discrimination.
C
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In practice, the three measurements of inflation, the CPI, PPI, and GDP deflator:
A. all closely track each other. B. are all positively correlated. C. all measure inflation, but focus on different parts of the economy. D. All of these statements are true.
Which of the following is not a cost of decentralization of corporate decisionmaking?
A. More effective use of local knowledge B. Less effective use of central information C. Coordination costs and failures D. Incentive problems
________ are forces that cause a reduction in a firm's average cost as the scale operation increases in the long run. ________ are forces that cause a firm's average cost to increase as the scale of operation increases in the long run
a. Diseconomies of scale; economies of scale. b. Economies of scale; diseconomies of scale. c. Increasing returns to a factor; decreasing returns to a factor d. Decreasing returns to a factor; increasing returns to a factor
The length of time until a bond matures is called the
a. perpetuity. b. term. c. maturity. d. intermediation.