Relative to a monopolist charging a single price to all consumers, price discrimination ________ total economic surplus.
A)has no effect on
B)sometimes increases and sometimes decreases
C)decreases
D)increases

Question

Quizplus · Accepted Answer

All else equal, a monopolist that price discriminates will produce closer to the socially optimal level of output than will a monopolist that charges a single price to all consumers.

Relative to a Monopolist Charging a Single Price to All