[Solution] Suppose there are two groups of consumers and that it is optimal for a non-discriminating monopoly to set p = $10. At that price, no one from
Question:
Suppose there are two groups of consumers and that it is optimal for a non-discriminating monopoly to set p = $10. At that price, no one from the first group chooses to purchase. Now, suppose the monopoly can price discriminate. Will total output expand? Why or why not?
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