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Two consumers Justin and Cindy of the same product have the following demand curves: Q1 = 500 - 10 P and Q2 = 500 - 20 P. The marginal cost (MC) for the firm is $10. find out the prices when the firm discriminates between the two consumers. Is this a good strategy, or should the firm charge the same price to both of them?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M938722

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