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Microeconomic Question: In Chile, I noticed that the disco was charging 7,000 pesos for males and 4,000 for females. And for men from rich countries

Microeconomic Question:

In Chile, I noticed that the disco was charging 7,000 pesos for males and 4,000 for females. And for "men from rich countries" the price was 10,000 pesos. I thought Wow!!, they're practicing a certain economic technique here!

  • What is that technique called?
  • Assuming the marginal cost of providing disco entertainment was the same for everybody, on two separate graphs, show American equilibrium on one and that of a Chilean male on another.
  • How did they manage to charge me more?

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