Principles of Microeconomics / Unit 17 MIC 1628 short lesson, about 20 seconds
Price Discrimination, Restated
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The idea
A seller with market power charges different buyers different prices for the same good when it can set prices, tell elasticities apart, and prevent resale. The less elastic group pays more; output rises while surplus moves to the seller.
In practice
Student discounts sort the elastic from the inelastic.
Where people slip
Cost differences are not discrimination; shipping is not a higher price for the same good.
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