A monopolist's profits with price discrimination will be

Question

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Price discrimination allows a monopolist to capture more consumer surplus by charging high prices to consumers with a relatively inelastic demand and low prices to consumers with a relatively elastic demand. This increases the monopolist's profits compared to charging a single, profit-maximising price. However, the monopolist may need to incur additional costs to separate consumers into different groups for price discrimination, so the costs of selling the good may not necessarily be lower.

A Monopolist's Profits with Price Discrimination Will Be