Price discriminating firms often ________ prices to children and the elderly because they have a ________ willingness to pay than other consumers.

Question

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Price discriminating firms often discount prices to children and the elderly because they typically have a lower willingness to pay compared to other consumers. This strategy allows firms to capture different segments of the market by adjusting prices according to consumers' ability or willingness to pay.

Price Discriminating Firms Often ________ Prices to Children and the Elderly