Firms who engage in price discrimination usually make the same amount of money as they would if they charged one price.

Question

Quizplus · Accepted Answer

The main purpose of price discrimination is for firms to increase their profits by charging different prices to different groups of consumers based on their willingness to pay. By doing so, they can extract more surplus and increase revenue. Therefore, firms engaged in price discrimination usually make more money than if they charged one price.

Firms Who Engage in Price Discrimination Usually Make the Same