Suppose That a Price-Discriminating Firm Divides Its Market into Two

Multiple Choice

Suppose that a price-discriminating firm divides its market into two segments. If the firm sells its product for a price of $42 in the market segment where demand is relatively less elastic, the price in the market segment whose customers' demand is more elastic will be

A) $42
B) greater than $42
C) less than $42
D) $42 plus average fixed costs