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Price Discrimination is Possible Under Monopoly. - Economics

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Question

Price discrimination is possible under monopoly.

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Solution

True, price discrimination is possible in monopoly,
Explanation:
Price discrimination implies charging different prices for the same product from different buyers at the same time. Since a monopoly firm is a 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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2013-2014 (March)

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