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djsmyers djsmyers
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Posts: 764
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6 years ago
Two-part tariffs allow the monopoly firm to capture all of the potential consumer surplus generated by the sale of its product.
Textbook 
Microeconomics: Theory and Applications with Calculus

Microeconomics: Theory and Applications with Calculus


Edition: 4th
Author:
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wrote...
6 years ago
False. This is only the case if all consumers are identical. If consumers differ, no single tariff can capture all of the consumer surplus.
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