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Perfect Price Discrimination Occurs When a Firm Is Able to

Question 30

Multiple Choice

Perfect price discrimination occurs when a firm is able to


A) charge each buyer the highest price that he or she is willing to pay for the good.
B) identify at least two different groups of buyers.
C) determine the difference between a seller's reservation price and the buyer's reserve price.
D) prevent frequent reselling of its product.
E) determine the prices that should be charged to generate the largest amount of consumer surplus.

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