Consider the following pricing strategies:
A.perfect price discrimination
B.charging different prices to different groups of customers
C.optimal two-part tariff
D.single-price monopoly pricing
Which of the pricing strategies leads to the economically efficient output level?
A)a only
B)a and b only
C)a and c only
D)a, b, and c only

Question

Quizplus · Accepted Answer

Optimal two-part tariff involves charging a fixed fee and a variable fee based on usage, which can lead to economically efficient output levels as it encourages customers to use the product efficiently while also ensuring that the firm earns profits. The other pricing strategies may result in market inefficiencies and do not necessarily lead to the economically efficient output level.

Consider the Following Pricing Strategies