What conditions allow price discrimination to occur? 1 The firm is able to divide the overall market into distinct sub-markets. 2 Each separate sub-market has a different price elasticity of demand (PED). 3 The marginal revenue curve is identical in each separate market.
- A1 and 2 only
- B1 and 3 only
- C2 and 3 only
- D1, 2 and 3