Perfect price discrimination transfers the gains from trade from ________,but it also creates maximum efficiency.
A) firms to buyers
B) consumers to producers
C) corporations to sole proprietorships
D) producers to consumers
E) monopolies to profit-maximizing firms

Question

Quizplus · Accepted Answer

Perfect price discrimination allows producers to charge consumers the maximum price they are willing to pay for a product, which transfers the gains from trade from consumers to producers. However, it also leads to maximum efficiency as it ensures that every unit of the product is sold at the highest price the consumer is willing to pay, thus eliminating deadweight loss.

Perfect Price Discrimination Transfers the Gains from Trade from ________,But