Which of the Following Is TRUE About Price Discrimination in Monopolistic

question 74

Multiple Choice

Which of the following is TRUE about price discrimination in monopolistic markets?
I. Price discrimination may be good if it leads to higher output.
II. Price discrimination may help to offset high fixed costs, but it leads to less research and innovation.
III. Single pricing tends to increase prices for at least a subset of the market.

• A) I only
• B) II and III only
• C) I and III only
• D) I and II only

---

Definitions:

Negative View

A perspective or attitude that emphasizes criticism, pessimism, or a lack of confidence in outcomes rather than positive aspects.

Self

The self encompasses the individual's awareness of their personal identity, including their thoughts, feelings, and experiences.

Nonshared Influences

Environmental factors that are unique to an individual's experience and do not affect siblings in the same family similarly.

Environmental Influences

Factors originating from the external environment that impact an individual's behavior, development, and life outcomes.