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– Nelson Mandela

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M7- Graded Quiz

M7- Graded Quiz

Q 1. At many municipal golf courses, local residents pay a lower fee to play than other golfers do. One necessary condition for the golf course to be able to successfully price discriminate according to residency is that 2. A perfect price discriminator 3. A perfect price discriminating equilibrium maximizes 4. Suppose a profit-maximizing monopoly is able to employ group price discrimination. The marginal cost of providing the good is constant and the same in both markets. The marginal revenue the firm earns on the last unit sold in the market with the lower price will be 5. A firm engaging in group price discrimination

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1. they can check the identification cards of golfers 2. charges each buyer her reservation price 3. total surplus 4. equal to the marginal revenue the firm earns on the last unit sold in the market with the higher price 5. divides customers into groups and then charges each group a different price