Business, 23.04.2020 16:36, zoeatlowapple
Consider a second degree price discrimination situation as covered in lecture that concerns the pricing of a good offered in two different qualities. Suppose there's two types of consumers, one with higher valuations for both qualities and the other with lower valuations for both qualities.
a. Optimally set the same price for both quality levels
b. Be sure that the consumer with lower valuations for both goods will buy the higher quality version
c. Be sure that the consumer with higher valuations for both types will buy the lower quality version
d. Induce the consumer with high valuations to purchase the high quality good by making sure their consumer surplus is higher there than were they to buy the lower quality good
e. None of these
f. All of these.
Answers: 2
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