Which of the Following Is Necessary for Price Discrimination to Occur

question 41

Multiple Choice

Which of the following is necessary for price discrimination to occur?

• A) The firm must be able to produce the good at a low cost.
• B) The firm needs to decrease profits.
• C) The market allows for reselling goods.
• D) Consumers' preferences are hidden from the firm.
• E) The firm is able to distinguish among groups of buyers easily.

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Definitions:

Intercostals Nerves

Nerves located between the ribs that are responsible for conveying information to and from the spaces between the ribs.

Lumbar Region

The part of the lower back between the ribs and the pelvis.

Dermatome

Area of skin supplied by a spinal nerve.

Spinal Nerve

A mixed nerve, which carries motor, sensory, and autonomic signals between the spinal cord and the body.