Price discrimination is considered bad when ________, butgood when ________.

Question

Quizplus · Accepted Answer

Price discrimination is considered bad when it decreases output because it limits consumer choice and reduces social welfare. On the other hand, price discrimination is considered good when it increases output because it allows firms to capture more consumer surplus and potentially increase profits, while still providing benefits to more consumers through lower prices. This can lead to a more efficient allocation of resources and higher overall welfare.

Price Discrimination Is Considered Bad When ________, Butgood When ________

Price Discrimination Is Considered Bad When , Butgood When