2. (15 points) For each of the cases below, explain whether they represent a type of price discrimination or not and, if they do, which type.
- (a) (5 points) As you enter a store you see a sign saying "buy 2 get 1 free".
- (b) (5 points) A motel charges a higher price for a room to customers with dogs or cats than to
- customers with no pets.
- (c) (5 points) A cell phone provider offers corporate plans to businesses and individual plans to non-business customers.
Top Answer
Price discrimination is a situation of charging different price for an identical product from different persons. Monopoly... View the full answer
Sign up to view the full answer
Other Answers
hi, here is a... View the full answer
(a) As you enter a store you see a sign saying "buy 2 get 1 free" is a part of second degree price discrimination . Buy 2... View the full answer