The Purchase Price for Stata Version 12 (Statistical Software Used

question 109

Multiple Choice

The purchase price for Stata version 12 (statistical software used by many economists) is $895. For users of Stata version 11, the price to upgrade to version 12 is $395. Which of the following statements is (are) TRUE?

• A) Stata is using a two-part tariff strategy.
• B) Stata is segmenting its market by past purchasing behavior.
• C) Stata is practicing first-degree price discrimination by charging different groups different prices.
• D) The current users of Stata are less price-sensitive than possible future users.

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Definitions:

Reasonable Person

A legal standard used to determine how an average person would responsibly act under similar circumstances.

Society Expect

The anticipations or beliefs regarding behavior, norms, or achievements considered standard or desirable by a community or group.

Duty Of Care

Duty of care is a legal obligation to act with a certain level of attention, caution, and prudence to avoid harm to others or their properties.

Foreseeable Risks

Potential dangers or hazards that a reasonable person should be able to predict could occur under certain conditions.