Which is NOT a necessary condition for price discrimination to exist?
A. The firm must face a downward sloping demand curve.
B. The firm must establish different prices to reflect marginal cost.
C. The firm must be able to prevent resale of the product or service.
D. The firm must identify buyers with different elasticities of demand.
Answer: B
You might also like to view...
If the inflation rate is 5 percent and the real interest rate is 2.5 percent, then the nominal interest rate is
A) 10 percent. B) -2.5 percent. C) 2.5 percent. D) 7.5 percent. E) 2 percent.
The cost data in the above table data show that production is characterized by
A) economies of scale. B) constant returns to scale. C) decreasing returns to scale. D) More information is needed to answer the question.
The 1978 Full Employment and Balanced Growth Act called for a target unemployment rate of
a. 0 percent b. 5 percent c. 1 percent d. 2 percent e. 4 percent
If real GDP is $20 trillion, consumption is $14 trillion, planned investment is $4 trillion, government purchases are $4 trillion, net exports are -$1 trillion, then the unintended inventory adjustment is:
a. -$2 trillion. b. -$1 trillion. c. $1 trillion. d. $2 trillion.