A block tariff is a form of:
A)first-degree price discrimination
B)second-degree price discrimination
C)third-degree price discrimination
D)tying

Question

Quizplus · Accepted Answer

A block tariff is a form of second-degree price discrimination where the price for a good or service varies based on the quantity or "blocks" purchased. This is a way to incentivize customers to purchase more of a product at a lower overall price per unit, while still allowing the seller to earn a profit. A block tariff is a form of second-degree price discrimination, in which the price per unit decreases as the quantity consumed increases up to a certain threshold level. This encourages consumers to buy more and can increase the revenue of the seller.

A Block Tariff Is a Form Of