If an Ordinary Price Discrimination Monopolist Charges a Higher Price

question 54

Multiple Choice

If an ordinary price discrimination monopolist charges a higher price in one market than another, it must mean that at the profit- maximising level of output in each market the:

• A)monopolist is implementing perfect price discrimination.
• B)price- elasticity of demand is higher in the high- price market.
• C)price- elasticity of demand is lower in the high- price market.
• D)reservation prices are generally higher in the high- price market.

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Definitions:

Separation Of Church And State

The principle that the government should not interfere with the practice of religion, and religious groups should not have undue influence on government policies.

Deists

Individuals who believe in deism, a philosophical position that posits that a supreme being created the universe but does not interfere with it or govern the lives of humans directly, and that the only way to understand God is through reason and observation of the natural world.

Evangelical Leaders

Influential figures within the evangelical Christian movement known for their emphasis on the necessity of conversion, the authority of the Bible, and active evangelism.

Thomas Jefferson

The principal writer of the Declaration of Independence and a founding father who also served as the third President of the United States.