Which of the Following Best Summarizes the Ruling in Citizens

question 98

Multiple Choice

Which of the following best summarizes the ruling in Citizens United v. the Federal Election Commission?

• A) Corporations were greatly limited in the amounts they could contribute to political campaigns.
• B) The U.S. Chamber of Commerce was determined to be a "different" type of corporation that required a separate set of political election rules.
• C) Restrictions on corporate spending in political elections were erased.
• D) Corporations were reclassified as "individual donors" in political elections.

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Definitions:

Perfect Price Discrimination

A pricing strategy where a seller charges the maximum possible price to each customer based on their willingness to pay, capturing all consumer surplus as profit.

Consumer Surplus

The discrepancy between what consumers are prepared and able to spend on a product or service and the actual amount they end up paying.

Producer Surplus

The difference between what producers are willing to sell a good for and the actual price they receive, serving as an indicator of producer welfare.

Direct Price Discrimination

A pricing strategy where a business charges different prices to different customers for the same product or service, based on willingness to pay.