When a firm charges each customer the most they are willing to pay, this is called third degree price discrimination.

Name: When a firm charges each customer the most they are willing to pay, this is called third degree price discrimination.
Brand: Quizplus
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Quizplus · Accepted Answer

This is called first-degree price discrimination, or perfect price discrimination, where prices are personalized to each customer's maximum willingness to pay.

When a Firm Charges Each Customer the Most They Are