in order to price discriminate, a monopoly firm must be able to: select an answer and submit. for keyboard navigation, use the up/down arrow keys to select an answer. a separate customers based on different elasticities of demand. b charge each customer the same price. c incur a different cost for producing each unit of output. d all of the above conditions are necessary.

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16-11-2022
Business

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in order to price discriminate, a monopoly firm must be able to: select an answer and submit. for keyboard navigation, use the up/down arrow keys to select an answer. a separate customers based on different elasticities of demand. b charge each customer the same price. c incur a different cost for producing each unit of output. d all of the above conditions are necessary.

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JitSen257 JitSen257 · Answer 1 · 2022-11-24T12:52:33+01:00

The seller ought to be able to subdivide the market into two or more sub markets.The product's price-elasticity must vary depending on the market.As a result, the monopolist can charge a high price to customers whose demand for the product has a price-elasticity of demand that is less than 1.

In a monopoly, what exactly is price discrimination?

In a monopoly, charging different prices for the same product is price discrimination.Suppliers' selling prices can be significantly influenced by monopolies, which typically have greater control over suppliers than regular sellers.

When a monopoly is able to precisely discriminate between prices?

It produces less than what would be produced in a market with competition.Consumer surplus and dead weight losses are transformed into monopoly profits by a monopolist with perfect price discrimination.

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