Price discrimination

Price discrimination is defined as a business charging different consumers ... prices for the ... product, whereby the price difference is not due to the differences in the cost of supplying the customers.

• different …same

• same …same

• same...different

• different …different

Which of the following is NOT an example of price discrimination?

• Public transport discounts for students and the elderly

• Airlines charging higher prices during holiday season

• Petrol stations providing cheaper fuel on certain days of the week

• Differences in price between first class and economy class air travel

Which form of price discrimination involves charging each customer the maximum price they are willing and able to pay?

• 1st degree

• 2nd degree

• 3rd degree

• 4th degree

A firm with market power engages in price discrimination to

• make its demand more elastic

• increase consumer surplus

• earn a higher profit

• decrease deadweight loss

I'll give Ranyah a GOOD GRADE (Guys remember you're my favorite)

• Yes

• Oui

• Sí

• Ja.