UGC NET
Ayushi Asked a Question
September 9, 2020 11:14 ampts 30 pts
  • UGC NET
  • Economics

Which one of the following statement is correct for price discrimination? 1. a firm's mr curve remains same 2. a firm's ar curve remains same 3. a firm's mc cur

Which one of the following statement is correct for price discrimination? 1. A firm's MR curve remains same 2. A firm's AR curve remains same 3. A firm's MC curve remains same 4. None of the three are correct
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  • Nidhi taparia Best Answer
    Option 3. is correct. In price discrimination, the firm's MC curve remains the same in both markets. MR and AR curves are different because of difference in demand elasticities.
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