Which of the following sellers is most able to perfectly price discriminate?
A) a college or university
B) the post office
C) a clothing store
D) a grocery supermarket

Question

Quizplus · Accepted Answer

A college or university has the ability to perfectly price discriminate because they have access to information about each student's ability to pay through financial aid applications and tuition payment histories. They can adjust tuition fees and financial aid packages accordingly, ensuring that each student pays the maximum amount they are willing and able to pay. On the other hand, the post office, clothing store, and grocery supermarket are unlikely to have such detailed information about their customers' financial situations, limiting their ability to perfectly price discriminate.

Which of the Following Sellers Is Most Able to Perfectly