microeconomics 10b
the pure monopoly extracts all surplus from consumers, yielding higher profits than any other pricing method when it employs which of the following?
-first-degree price discrimination -perfect price discrimination -personal pricing
the pure monopoly extracts all surplus from consumers, yielding higher profits than any other pricing method when it employs which of the following?
-first-degree price discrimination -personal pricing -perfect price discrimination
the practice of charging each and every consumer the price that she is willing and able to pay for a good or service describes
-personal pricing -first-degree price discrimination -perfect price discrimination
the practice of charging different prices per unit for different quantities, or blocks, of a good or service is called:
-second-degree price discrimination -block pricing
by charging consumers the highest price they are willing and able to pay, ____________ extracts all surplus from consumers, yielding higher profits than any other pricing method available to the firm
a pure monopoly
second-degree price discrimination is also known as ___________ pricing
block
firms use price discrimination to:
increase their profits
price discrimination is only possible when a firm is a price _______________
maker
the practice of selling the same good or service to different consumers at different prices is called ______________ discrimination
price
the practice of selling the same good or service to different consumers at different prices is called...
price discrimination
in a pure monopoly, the firm is willing to sell anyone willing and able to pay at least the marginal cost of production
the result is that output is produced where D = MC