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Explain and discuss how monopoly pricing targets to capture consumer surplus. In your answer cover the followings: a) What kind of consumer behavior is second-degree
Explain and discuss how monopoly pricing targets to capture consumer surplus. In your answer cover the followings:
a) What kind of consumer behavior is second-degree price discrimination based on? Support your answer with relevant examples.
b) Explain the role of price elasticity of demand in applying third-degree price discrimination. Use appropriate graphs to support your answer.
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