When a monopolist practices price discrimination, compared to a single-price monopolist, monopoly profits will:
A) remain the same.
B) increase.
C) decrease.
D) increase initially, and then return to their original level.

Question

Quizplus · Accepted Answer

Price discrimination allows a monopolist to capture more consumer surplus by charging different prices to different consumers, thereby increasing profits compared to a single-price strategy.

When a Monopolist Practices Price Discrimination, Compared to a Single-Price