If a Firm Can Segment Its Market, and the Parts

question 55

Multiple Choice

If a firm can segment its market, and the parts cannot communicate among themselves, then

• A)arbitrage can occur.
• B)prices in the segments will tend to be equal over time.
• C)arbitrage cannot occur.
• D)the different elasticities will be equal over time.

---

Definitions:

Independently

Acting or capable of acting without dependence on others; self-sufficiently.

Density-independent Factors

Environmental factors that affect the size of a population regardless of the population density, such as weather and natural disasters.

Abiotic

Non-living chemical and physical parts of the environment that affect living organisms and the functioning of ecosystems.

Interspecific Competition

The interaction between members of different species that vie for the same resource in an ecosystem (e.g., food or living space).