Question 1

​Indirect price discrimination differs from direct price discrimination because

Accepted Answer

A) ​In indirect price discrimination high value consumers can sometimes still get the low price 
B) In direct price discrimination firms do not have to worry about cannibalizing 
C) Direct price discrimination encourages rivals to enter but indirect discrimination does not 
D) ​There is no difference between the two 
A) ​In indirect price discrimination high value consumers can sometimes still get the low price 
B) In direct price discrimination firms do not have to worry about cannibalizing 
C) Direct price discrimination encourages rivals to enter but indirect discrimination does not 
D) ​There is no difference between the two

Question 2

​Use the following table for question
  
-​How much would the firm make in revenue if it chooses to sell only the high-end professional series?

Accepted Answer

A) ​$100 
B) $110 
C) $120 
D) ​$130 
A) ​$100 
B) $110 
C) $120 
D) ​$130

Question 3

​The Robinson-Patman act

Accepted Answer

A) ​Is a part of the antitrust laws 
B) Makes it illegal to give a price discount on a good sold to another business 
C) Is also known as the Anti-Chain-store Act 
D) ​All of the above 
A) ​Is a part of the antitrust laws 
B) Makes it illegal to give a price discount on a good sold to another business 
C) Is also known as the Anti-Chain-store Act 
D) ​All of the above

Question 4

​Movie theatres offer senior discounts because

Accepted Answer

A) ​Seniors have a more elastic demand for movie tickets 
B) Seniors have lower incomes 
C) Seniors have a lower opportunity cost of time 
D) ​All of the above 
A) ​Seniors have a more elastic demand for movie tickets 
B) Seniors have lower incomes 
C) Seniors have a lower opportunity cost of time 
D) ​All of the above

Indirect price discrimination differs from direct price discrimination because

Use the following table for question -How much would the firm make in revenue if it chooses to sell only the high-end professional series?

The Robinson-Patman act

Movie theatres offer senior discounts because

The One Lessor of Business

Benefits, Costs, and Decisions

Extent How Much Decisions

Investment Decisions: Look Ahead and Reason Back

Simple Pricing

Economies of Scale and Scope

Understanding Markets and Industry Changes

Market Structure and Long Run Equilibrium

Strategy: the Quest to Keep Profit From Eroding

Foreign Exchange, Trade, and Bubbles

More Realistic and Complex Pricing

Strategic Games

Bargaining

Making Decisions With Uncertainty

Auctions

The Problem of Adverse Selection

The Problem of Moral Hazard

Getting Employees to Work in the Firms Best Interest

Getting Divisions to Work in the Firms Best Interest

Managing Vertical Relationships

Filters

Exam 12: Direct Price Discrimination