A Difference Between a Perfectly Competitive Market Equilibrium and a Perfect

question 129

Multiple Choice

A difference between a perfectly competitive market equilibrium and a perfect price discrimination equilibrium is that in a competitive market ________, whereas in perfect price discrimination ________.

• A)all units are sold where P = MC; only the last unit sold is at P = MC
• B)deadweight loss varies depending on the shape of the MC curve; deadweight loss increases
• C)consumers are better off; producers lose some sales due to high prices.
• D)All of the above.

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Definitions:

Systematic Desensitization

Systematic desensitization is a therapeutic technique used to reduce fear or anxiety gradually, by exposing the person to the feared object or situation in a controlled manner.

Phobias

Intense, irrational fears of specific objects or situations that significantly interfere with daily life.

Ivan Pavlov

A Russian physiologist known for his work in classical conditioning, particularly for his experiments with dogs, which led to the concept of the conditioned reflex.

Digestion

The biological process of breaking down food into smaller components that can be absorbed into the bloodstream.