Price discrimination refers to sellers conspiring to set the price of a product, usually higher than it would be in a free market.

Question

Quizplus · Accepted Answer

Price discrimination actually refers to different prices being charged for the same product based on the customer's willingness to pay or other characteristics, such as location, time of purchase, or quantity purchased. It is not necessarily conspiratorial or always resulting in a higher price.

Price Discrimination Refers to Sellers Conspiring to Set the Price