A Manufacturer Could Try to Defend Itself Against Charges of Price

question 128

Multiple Choice

A manufacturer could try to defend itself against charges of price discrimination under the Robinson-Patman Act by claiming that:

• A) the products were not of "like grade and quality."
• B) any price differences were to "meet competition in good faith."
• C) the price differences did not injure competition.
• D) the price differences were justified on the basis of cost differences.
• E) All of the above are possible defenses against price discrimination charges.

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Definitions:

Escape Learning

A form of learning in which an organism learns to perform an action in order to terminate an unpleasant stimulus.

Negative Punishment

A behavior reduction strategy where a favorable stimulus is removed following the undesired behavior.

Avoidance Learning

A process in behavioral psychology where a subject learns to prevent the occurrence of an unpleasant stimulus by performing a particular behavior.

Negative Reinforcement

A behavioral strategy where an aversive stimulus is removed following a desired behavior, increasing the frequency of that behavior.