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.

---

Definitions:

Lockheed Martin

A global aerospace, defense, security, and advanced technologies company.

Durability

The ability of an object or material to withstand wear, pressure, or damage.

Rewards Motivate

Rewards motivate refers to the concept that providing incentives or benefits can encourage individuals to perform desired actions or behaviors.

Ability Rewards

Compensation or recognition given to individuals based on their skills, talents, or competencies.