Consumers are ________ with price discrimination than with single pricing.
A) always better off
B) sometimes better off
C) never better off
D) neither better off nor worse off

Question

Quizplus · Accepted Answer

Price discrimination allows firms to adjust prices according to the consumer's willingness to pay, so it can lead to some consumers being charged a higher price while others pay a lower price. Therefore, some consumers may benefit from price discrimination and pay a lower price that reflects their actual willingness to pay, while others may end up paying a higher price. Overall, consumers are sometimes better off with price discrimination, but not always.

Consumers Are ________ with Price Discrimination Than with Single Pricing