Which term refers to selling commodities of similar grade and quality to two or more different buyers at different prices?
Answer Expert Verified. Explanation: Price discrimination is a method used by various firms; it is a selling system that charges clients different costs for similar items. They charge clients different prices and the prices depend on whatever the customer can pay.
Which of the following is the first step in the four step process of setting the right price of a product?
The first step in setting the right price is to establish pricing goals. Setting the right price is a four step process: establish pricing goals, estimate demand, costs and profit, Choose a price strategy to help determine a base price, Fine-tune the base price with pricing tactics.
Is the selling to two or more different buyers within a reasonably short time of commodities not services of like grade and quality at different prices where the result would be to substantially lessen competition?
-The Robinson-Patman Act of 1936 prohibits any firm from selling to 2 or more different buyers, within a reasonably short time, commodities (not services) of like grade and quality at different prices where the result would be to substantially lessen competition.
Which of the following defines demand?
What is Demand? Demand is an economic principle referring to a consumer’s desire to purchase goods and services and willingness to pay a price for a specific good or service. Holding all other factors constant, an increase in the price of a good or service will decrease the quantity demanded, and vice versa.
What are the two components of demand?
Economists define demand as the quantity of a good or service that buyers are willing and able to buy at all possible prices during a certain time period. Notice that there are two components to demand: willingness to purchase and ability to pay.
What are demand components?
Aggregate demand is the sum of four components: consumption, investment, government spending, and net exports.
What are components of supply and demand?
Other elements in supply include the prices of related goods, government policies, and special influences. C. Equilibrium of Supply and Demand 6. The equilibrium of supply and demand in a competitive market occurs when the forces of supply and demand are in balance.
Which of the following will cause a rightward shift of the market supply curve?
Supply curves are upward-sloping to the right. A decrease in the supply of corn syrup. Which of the following events would cause a rightward shift in the market supply curve for automobiles? A technological improvement that reduces the cost of production.