Price discrimination by an oligopolist is an attempt to
A) lower costs of production
B) increase efficiency
C) increase market share
D) create a uniform price in a market where multiple prices exist
E) turn consumer surplus into economic profit

Question

Quizplus · Accepted Answer

Price discrimination aims to capture consumer surplus by charging different prices to different consumers or groups of consumers, thereby increasing the firm's economic profit. This strategy does not primarily focus on lowering production costs, increasing efficiency, increasing market share, or creating uniform pricing.

Price Discrimination by an Oligopolist Is an Attempt to