Define price discrimination and give an example.

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Part $1$

A$.$

Price discrimination is the practice of charging different customers different prices for the same product or service. An example is when the airline industry charges different prices depending on the$$ season, time of the$$ flight, and day of the week.

B$.$

Price discrimination is the practice that occurs when companies in an industry conspire in their pricing and production decisions to achieve a price above the competitive price and so restrain trade. An example of this is Apple conspiring with five large book publishers on the pricing of ebooks. The goal was to promote$$ Apple's new iPad and to prevent Amazon from undercutting its title prices of ebooks.

C$.$

Price discrimination is the practice of charging a higher price for the same product or service when demand approaches the physical limit of the capacity to produce that product or service. An example is Uber Technologies Inc. using surge pricing during$$ high$-$demand times such as on Saturday nights.

D$.$

Price discrimination is the practice that occurs when a foreign company sells a product in the United States at a price below the market price in the country where it is$$ produced, and this lower price materially injures$($or threatens to$$ injure$)$ an industry in the U$.$S$.$ An example of this is the current prolonged global trade war which has led to the U$.$S$.$ announcing duties of up to$80\%$ on$$ Chinese$-$made stainless steel beer kegs and$1,731\%$ on$$ Chinese$-$made mattresses, while China has set taxes of between$58\%$ and$148\%$ on$$ alloy$-$steel seamless tubes and pipes made in the United States and the European Union.