The manufacturer has put in place a price discrimination policy, where it charges its household customers more per unit than it charges its industrial users. The manufacturer wants to keep the retailer from arbitraging away the profits from the policy. The manufacturer should
a. Vertically integrate into the retail operations in the household market
b. Vertically integrate into the retail operations in the industrial market
c. Reward the household market retailers for not arbitraging
d. All of the above
Question 2
The intersection between demand of US dollar and the supply of US dollar is known as
a. Inflation rate
b. Exchange rate
c. Price
d. Quantity
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