If a firm could practice perfect price discrimination, it would
A)allow resale of its product.
B)charge every buyer a different price.
C)charge a price based on the quantity of a product bought.
D)use odd pricing.

Question

Quizplus · Accepted Answer

Perfect price discrimination means that the firm can charge each buyer a price based on their willingness to pay, which results in every buyer paying a different price. This approach maximizes the firm's profits and eliminates any consumer surplus. Allowing resale of the product, using odd pricing, or charging based on quantity bought are not specific to perfect price discrimination.

If a Firm Could Practice Perfect Price Discrimination, It Would