If a College Student's Demand for Newspaper Subscriptions Is More

question 158

Multiple Choice

If a college student's demand for newspaper subscriptions is more price-elastic than a business executive's demand for newspaper subscriptions, which of the following pricing strategies would a price-discriminating newspaper publisher follow?

• A) Charge the same rate to college students and business executives
• B) Set price according to the marginal cost of printing the newspaper
• C) Charge a higher price to college students
• D) Charge a higher price to business executives