Which of the following is not true of successful price discriminators? a. They could make greater profits

Question:

Which of the following is not true of successful price discriminators?

a. They could make greater profits by charging everyone a higher, uniform price.

b. Their customers must differ in their willingness to pay.

c. Their customers must have difficulty reselling the good to other customers.

d. They must have monopoly power.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Exploring Microeconomics

ISBN: 9781544339443

8th Edition

Authors: Robert L. Sexton

See More Books

Question Posted: May 19, 2024 08:00 AM

See More Questions

Multiple Choice Questions: 1. Under average cost pricing by a natural monopoly, a. Price is greater than marginal cost. b. A welfare cost will be incurred. c. The producer will earn a normal rate of...
MCQ questions: 1. An increase in oil prices, such as the oil shocks in the 70s, lead to _______ thereby causing ________ a movement along the AS curve; cost-push inflation a leftward shift in the AS...
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
Find the extreme values of (x, y) = x 2 + 2y 2 subject to the constraint g(x, y) = 4x 6y = 25. (a) Show that the Lagrange equations yield 2x = 42, 4y = -62. (b) Show that if x = 0 or y = 0, then the...
For a sandy soil, the following are given: Maximum void ratio = 0.72 Minimum void ratio = 0.46 Hydraulic conductivity at a relative density of 80% 0.006 cm/sec. Determine the hydraulic...
An ETFs tracking error, as traditionally reported, indicates to investors: A. whether the ETF is underperforming or outperforming its underlying index. B. the magnitude by which an ETFs returns...
If a service department generates revenues, how do these revenues enter into the allocation of the department's costs to other departments?
On January 1, 2008, Pennington Corporation purchased 30% of the common shares of Edwards Company for $180,000. During the year, Edwards earned net income of $80,000 and paid dividends of $20,000....
Assume your home is assessed at $200,000. You have a $150,000 loan for 30 years at 6 percent. Your property tax rate is 1.5 percent of the assessed value. In year one, you would pay $9,000 in...
Price discrimination may be a rational strategy for a profit-maximizing monopolist when a. it can separate willingness to pay across customers. b. it has a substantial opportunity for reselling...
A price-discriminating monopolist will tend to charge a lower price to students if it believes that student demand is a. more elastic than that of other demanders. b. more inelastic than that of...
Develop a chart similar to Figure for the following assignment: Johnson Electronics has requested your advice as to when assets need to be classified as current assets. In Figure a. Purpose. You...
Entertain your small group with a creative synopsis of the lives and works of Mozart and Beethoven! Imagine you are overhearing a conversation between Mozart and Beethoven. Do they have anything in...
Solve the equation by using the square root property. Write imaginary solutions in the form atbi. Express numbers in simplest form using integers, fractions, or radicals. (+)-0
Using the expenditures method, label each of the following as a source (S), application (A) 1)A suspect sold stock with a basis of $5,000. 2)A suspect paid Federal income taxes of $2,400. 3)A suspect...
In 2017, Eraser Corp had Revenue of $229 million, Cost of Goods Sold of $117 million (this includes Depreciation of $46 million), Sales General and Admin Expenses of $33 million, and faced a tax rate...
Solve. log4(5x-2)=3 The solution is x=
Calculate the rms value of the waveform shown in Fig P 9.39 vt) (V) t
Diamond Walker sells homemade knit scarves for $25 each at local craft shows. Her contribution margin ratio is 60%. Currently, the craft show entrance fees cost Diamond $1,500 per year. The craft...
An employer reduces the required leased warehouse space by 30,000 square feet but is unable to sublet the area. For decision making purposes the continued cost to lease the space is a(n)
1 a A six-month call option on 100 shares of ABC Company is selling for $30. The strike price for the option is $4. The share is currently selling at $3.80 per share. I. Ignoring brokerage fees, what...
In the process of making a financial forecast, Ernie has been looking closely at his variable expenses. Currently, each week he spends an average of $25 on food, $50 on entertainment, and $45 on...

Which of the following is not true of successful price discriminators? a. They could make greater profits

Question:

Step by Step Answer:

Exploring Microeconomics

Students also viewed these Business questions