Which Statement Is Inconsistent with a Tie- in Pricing Scheme

question 10

Multiple Choice

Which statement is inconsistent with a tie- in pricing scheme?

• A)The monopolist charges prices that capture consumer surplus.
• B)The monopolist charges a zero price on the monopoly good and a high price on the tied- good.
• C)The monopolist charges a lower than equilibrium price on the monopoly good and higher than equilibrium price on the tied- good.
• D)The monopolist charges prices that generate dead weight loss.

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Definitions:

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