A firm with market power engages in third-degree price discrimination. The marginal cost of producing the good is the same for the different market segments. Thus, we expect the price:

• A.will be lower in the segment with more inelastic demand.
• B.will be higher in the segment with more inelastic demand.
• C.will be higher in the segment where more close substitutes are available.
• D.will be lower in the segment with lower fixed costs.