If a monopolist practices perfect price discrimination,
A)the firm will break even in the long run.
B)consumers surplus will be equal to the deadweight loss.
C)producer surplus will equal consumer surplus.
D)consumer surplus will be zero.

Question

Quizplus · Accepted Answer

In perfect price discrimination, the monopolist charges each consumer the maximum price they are willing to pay, capturing all consumer surplus as producer surplus, leaving consumer surplus at zero.

If a Monopolist Practices Perfect Price Discrimination