Which of the Following Regarding the Outcome of Perfect Price

question 67

Multiple Choice

Which of the following regarding the outcome of perfect price discrimination is true?

• A) Consumer surplus increases.
• B) Deadweight loss increases.
• C) Producer surplus increases.
• D) The economy becomes more efficient.

---

Definitions:

Natural Rate

The rate of any economic variable, such as unemployment or interest, believed to be inherent when the economy is in equilibrium.

Economic Policy

A course of action that is intended to influence or control the behavior of the economy, including taxation, government budgets, and interest rates.

Complex Economy

An economic system featuring a vast array of goods and services, multiple levels of production, and interconnected markets and actors.

Labor Earnings

Income received by workers for their labor services, including wages, salaries, and other forms of compensation.