Which of the Following Statements Concerning Price Discrimination Among Consumers

question 59

Multiple Choice

Which of the following statements concerning price discrimination among consumers with different price elasticities is true?

• A)Consumers are charged different prices because costs vary among consumers.
• B)A firm cannot price-discriminate unless it can identify different consumer types.
• C)It is possible for a competitive firm to price-discriminate.
• D)Price discrimination occurs when some ethnic groups can get service and others cannot.
• E)A firm can price-discriminate only if it has market power.

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Definitions:

Awareness

The state or ability to perceive, feel, or be conscious of events, objects, or sensory patterns.

Dissociative Amnesia

A psychological condition where a person cannot remember important personal information, usually resulting from trauma or stress.

Dissociative Fugue

A psychiatric disorder characterized by reversible amnesia for personal identity, including the memories, personality, and other identifying characteristics of individuality.

Excessive Stress

An overwhelming level of stress that surpasses an individual's ability to cope, potentially leading to adverse psychological or physical health effects.