If a monopolist is practising perfect price discrimination,we know that

Question

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Perfect price discrimination implies that the firm is selling each unit at a different price, which is equal to the maximum amount that each consumer is willing to pay. This allows the monopolist to capture all consumer surplus, which would not be possible with a uniform price. However, this also means that the firm is producing a lower output than it would if it were a single-price monopolist, because some consumers might not be willing to pay the higher price for the additional units. Therefore, choices A, B, and C are not correct, since they do not capture the essence of perfect price discrimination.

If a Monopolist Is Practising Perfect Price Discrimination,we Know That