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QUESTION 2 Under a version of direct price discrimination, the seller is able to charge each customer their maximum willingness to pay for the product.

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QUESTION 2 Under a version of direct price discrimination, the seller is able to charge each customer their maximum willingness to pay for the product. This practice is known as perfect price discrimination. If a seller successfully adopts perfect price discrimination, what happens to the consumer surplus in this market? Consumer surplus increases Consumer surplus becomes negative Consumer surplus becomes zero Consumer surplus declines but remains to be positive

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