Q10. If there are two separate groups of buyers that are physically isolated from each other, it was seen that a monopolist would rather charge two unique prices to each group rather than a uniform price. Wwhy is this true and which model studies this? Why is it that the two groups need to be isolated from each other?

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter9: Monopoly
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Q10. If there are two separate groups of buyers that are physically isolated from each other, it
was seen that a monopolist would rather charge two unique prices to each group rather than
a uniform price. Wwhy is this true and which model studies this? Why is it that the two groups
need to be isolated from each other?
Transcribed Image Text:Q10. If there are two separate groups of buyers that are physically isolated from each other, it was seen that a monopolist would rather charge two unique prices to each group rather than a uniform price. Wwhy is this true and which model studies this? Why is it that the two groups need to be isolated from each other?
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