News Analysis: Coupon Clipping Craze My Home Courses Back to Assignment Catalog and Study Tools Attempts Keep the Highest / 4 ental Options 2. Recessions and price discrimination liege Success Tips pose that you are the marketing manager of Pulp Corp., the only pro tleville. As a monopolist Pulp Corp.'s objective is to maximize its profit, so it is up to you devise a way to increase profits through price discrimination, As a former economics reer Success Tips tudent you know that many firms succe parating their n ket into two identifiable types of consumers what conomists call third-degree price discrimination, Examples of this include student discounts, senior citizen discounts, and ladies' night discounts. after doing some research, you conclude that the de efruits varies greatly betw n consumers who clip coupons and those who do not. e Feedback The following graphs show the overall daily demand and marginal revenue (MR) for a pound of grapefruits for each group of consumers and the marginal cost (MC) for producing producing a pound of grapefruits. Assume that fixed costs are equal to zero. Note: You will not be graded on any changes made to these graphs Coupon Clippers (?) Profit Max PRICE (Dollars per pound of grapefruits) 0.50 20 20 40 50 60 70 80 90 100 QUANTITY (Pounds of grapefruits per day) Non-Coupon Clippers (? 5.90 4.50 4 00 Demand Profit Max 3 50 3.00 PRICE (Dollars per pound of grapefruits 2.00 1 30 1.80 10 20 30 40 50 80 70 20 QUANTITY (Pounds of grapefruits per day)Complete the following table by computing the profit-ma and Study Tools previous graphs Price Quantity ptions Consumer Type (Dollars per pound of grapefruits) (Pounds of grapefruits) Success Tips Soupon Clippers Jon-Coupon Clippers success Tips Based on this information, you would suggest that the coupon value for grapefruits should be per pound. Overall profit for Pulp Corp. will now bes per day if it uses this coupon value to price discriminate its customers. dback Suppose the economy of Rattleville has entered a re cession that changes the composition of consumers as shown on the following graphs, That is some consumers who were formerly non-coupon clippers have now become coupon clippers, and the overall willingness of coupon clippers to pay has declined. Note: You will not be graded on any changes made to these graphs. Coupon Clippers Profit Max PRICE (Dollar per pound of gre 1.00 20 30 40 50 60 70 80 100 QUANTITY (Pounds of grapefruits per day) Non-Coupon Clippers (?) Heman Profit Max PRICE (Dollars per pound of grapefruits 1.00 30 40 QUANTITY (Pounds of grapefruits per day)Complete the following table by computing the profit-maximizing price and quantity for each consumer type during the recessionary period Price Quantity Consumer Type (Dollars per pound of grapefruits) (Pounds of grapefruits) Coupon Clippers Non-Coupon Clippers Which of the following are conclusions you can make about market conditions in this economy? Check all that apply. The coupon value for grapefruits was lower before the recession. DCompared to neared to the initial state of the economy, the quantity of coupons clipped increases when the economy experiences a recession, Profit would be higher both before and during the rece ion if coupons were not offered Compared to the initial state of the economy the qua upons clipped stays the same when the economy experiences Grade It Now Save & Continue Continue without Saving Type here to search O