Which of the following scenarios demonstrates price discrimination?
A) Bananas at the grocery store are sold for $0.69 per pound.
B) Tickets to a play are sold for $15 for students and $25 for adults.
C) General admission concert tickets are sold for $40.
D) Strawberries are sold for $2.00 per quart in the early summer and $5.00 per quart in the winter.

Question

Quizplus · Accepted Answer

Price discrimination occurs when a seller charges different prices to different customers for the same product or service, where the price differences are not justified by differences in cost. In option B, tickets to a play are sold at different prices based on the customer's status (student vs. adult), which is a classic example of price discrimination.

Which of the Following Scenarios Demonstrates Price Discrimination