Question

Match List-I with List-II:

List-I(Pricing Strategies)		List-II(Type of Price Dis crimination)
A	Locating individual consumers and charging each of them a unique price	I	Bundling
B	Dividing consumers into two markets with different elasticities and charging separate unique prices	II	Second degree price discrimi nation
C	Including extra units of another good with the main good sold and charging the consumer a higher price	III	First degree price discrimi nation
D	Charging customers a different price depending on day of the week	IV	Third degree price discrimi nation

Choose the correct answer from the options given below

• (A) - (II), (B) - (III), (C) - (IV), (D) - (I)
• (A) - (III), (B) - (III), (C) - (I), (D) - (IV)
• (A) - (IV), (B) - (III), (C) - (II), (D) - (I)
• (A) - (II), (B) - (IV), (C) - (I), (D) - (III)

Answer 1

The Correct Option is D

The definitions for market organization and monopoly pricing types are:

(A) Second-degree price discrimination: Consumers pay varying prices for different quantities of goods.

(B) First-degree price discrimination: Each consumer is charged their maximum willingness to pay.

(C) Third-degree price discrimination: Charging different prices based on cost considerations.

(D) Bundling.

The correct correspondence is: (A) - (II), (B) - (I), (C) - (III), (D) - (IV).

Therefore, the correct answer is (d).