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When Firms Price Discriminate, They

Question 120

Multiple Choice

When firms price discriminate, they


A) sell to new consumers who would not have bought at the profit-maximizing uniform price but lose sales to existing consumers because of the higher prices.
B) sell to new consumers that would not have bought at the profit-maximizing uniform price.
C) lose surplus from consumers who would have bought at the profit-maximizing uniform price.
D) None of the above.

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