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Rather than charging a single price to all customers, a firm charges a higher price to men and a ...

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Rather than charging a single price to all customers, a firm charges a higher price to men and a ...

Rather than charging a single price to all customers, a firm charges a higher price to men and a lower price to women. By engaging in this practice, the firm:
A) is trying to reduce its costs and therefore increase its profit.
B) is engaging in an illegal activity that is prohibited by the Sherman Antitrust Act.
C) is attempting to convert producer surplus into consumer surplus.
D) is attempting to convert consumer surplus into producer surplus.
E) Both A and C are correct.

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Microeconomics

Edition: 8^th

Author: Pindyck

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