Which of the Following Is Not a Real-World Example of Second-Degree

question 17

Multiple Choice

Which of the following is not a real-world example of second-degree price discrimination?

• A) A pizza parlor sells large and small pizzas. Although the large pizzas are twice as big as the small pizzas, they cost less than double the price of a small pizza.
• B) An electric company sells "blocks" of power at different prices. Specifically, any customer who buys more that Q₁ units of electricity can purchase additional units at a lower block price.
• C) Sam's Club® warehouses sell bulk quantities of macaroni and cheese for a cheaper per unit price than a grocery store, but the boxes are packaged together so that the customer must buy six boxes at a time.
• D) A movie theater charges senior citizens a cheaper price for movie tickets than it charges non-senior citizens for the same movie ticket.

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Definitions:

House

In the context of government, refers to a legislative body or chamber within a bicameral legislature, often the lower house.

Senate

One of the two houses of the legislature in many countries, especially in the United States, responsible for making and passing laws.

Cloture

Cloture is a legislative procedure used to end debate on a matter and force a vote in a legislative body, such as the U.S. Senate.

Filibuster

A parliamentary procedure where debate is extended, allowing one or more members to delay or entirely prevent a vote on a proposal.