If We Observe a Firm Engaging in Price Discrimination, It

question 84

Multiple Choice

If we observe a firm engaging in price discrimination, it must be true that:

• A)The firm is enjoying higher total profits than it would have earned if it charged a single price for the product.
• B)The firm can identify the preferences of every customer it serves.
• C)The firm earns higher profits per unit than it would have earned if it charged a single price for the product.
• D)All of the above are correct.

---

Definitions:

Romanian Orphanages

Institutions in Romania, noted in studies for their impact on child development due to deprivation and neglect experienced by children.

Adopted

A person who has been legally taken by another family as their own child, granting them the same rights and privileges as a biological child.

Months

Units of time, typically used in calendars, that roughly correspond to the period of time it takes for the moon to orbit the Earth, commonly divided into 12 periods in a year.