Consider the following pricing strategies:
a. perfect price discrimination
b. charging different prices to different groups of customers
c. optimal two-part tariff
d. single-price monopoly pricing
Which of the pricing strategies allows a producer to capture the entire consumer surplus that would have gone to consumers under perfect competitive pricing?
A) a, b, c, and d B) a, b, and c only C) a and b only D) a and c only
Question 2
Refer to Figure 11-11. Constant returns to scale
A) occur between 10,000 and 20,000 pictures frames per month.
B) occur for output rates greater than 5,000 picture frames.
C) occur between 5,000 and 20,000 picture frames per month.
D) will shift the long-run average cost curve downward.
Charging young leopard
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