In Canada, the Competition Act Makes Price Discrimination Illegal in Certain

question 26

Multiple Choice

In Canada, the Competition Act makes price discrimination illegal in certain circumstances. The main reason for which price discrimination cases brought before courts are difficult is:

• A)judges have a hard time thinking like an economist.
• B)the cases are politically motivated.
• C)it is hard to prove that the price difference is not due to objective factors, such as cost differences.
• D)the Competition Tribunal tends to dismiss as irrelevant most price discrimination cases.

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Definitions:

Profitability

A measure of the efficiency and effectiveness of a company in generating profit from its operations. It indicates the company's ability to produce income relative to its revenue, assets, equity, or other financial metrics.

Financial Rewards

Monetary benefits provided to employees or individuals as compensation for their services or to incentivize performance.

Creditworthiness

An assessment of a borrower's ability to repay debts based on their financial history and current financial status.

Intra-company Standards

Guidelines or policies adopted within a company to ensure consistency and quality across departments or units.