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Give Reason Or Explain: Price Discrimination is Possible Under Monopoly. - Economics

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Question

Give reason or explain:

Price discrimination is possible under monopoly.

Short/Brief Note
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Solution

Price discrimination implies charging different prices for the same product from different buyers at the same time. Since a monopoly firm is the single seller in the market it enjoys complete control over the price. In this regard he can follow price discrimination in order to gain maximum profits.

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Chapter 6: Forms of Market and Price Determination Under Perfect Competition - Exercise 2 [Page 52]

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Micheal Vaz Economics [English] 12 Standard HSC
Chapter 6 Forms of Market and Price Determination Under Perfect Competition
Exercise 2 | Q 2.2 | Page 52
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