If a pure monopolist can price discriminate by separating buyers into two or more groups: the firm will face multiple marginal revenue curves

Economics Jan 13, 2021

If a pure monopolist can price discriminate by separating buyers into two or more groups:

the firm will face multiple marginal revenue curves. marginal revenue will become less at each level of output than it would be without price discrimination. the marginal revenue curve and the total revenue curve will now coincide. the marginal revenue curve will now shift to a position above the demand curve.