8. Suppose a company is currently charging a uniform price for its two products, creamy and crunchy...

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8. Suppose a company is currently charging a uniform price for its two products, creamy and crunchy peanut butter. Will third-degree price discrimination necessarily improve its profit? Would the firm ever be worse off with price discrimination?

9. How might screening help a firm price discriminate?

Give an example of screening and explain how it works.

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Microeconomics

ISBN: 9780470563588

4th Edition

Authors: David Besanko, Ronald Braeutigam

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