Recall the Application about Radiohead letting each consumer decide how much to pay for its album, In Rainbow, to answer the following question(s).
-Recall the Application. It is difficult to implement price discrimination in online song downloads because:
A)the high demander can pretend to be a low demander.
B)the firm has no market power.
C)all consumers are willing to pay the same amount for song downloads.
D)the product is heterogeneous.

Question

Quizplus · Accepted Answer

In online song downloads, consumers can easily misrepresent their willingness to pay, making it difficult for firms to distinguish between high and low demanders for effective price discrimination.

Recall the Application About Radiohead Letting Each Consumer Decide How