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Bakeries will often offer a discount on items that were made the day before but did not sell. How is this an example of price
Bakeries will often offer a discount on items that were made the day before but did not sell. How is this an example of price discrimination?
Select one:
a
Discounting the items, as opposed to giving them away, prevents customers from attempting to resell them.
b
Making items of high enough quality to sell the following day means that a bakery has a certain degree of market power.
c
It is not an example of price discrimination, because dayold baked goods are not the same product as freshly baked ones.
d
Individuals with an inelastic demand for baked goods will travel to a different bakery if their preferred bakery runs out of fresh product.
e
The bakery is unable to distinguish between types of buyers with fresh product, so it is forced to keep old baked goods in order to maximize profit.
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