(a) The reason firm's use non-linear pricing is to change the consumer's preferences reduce the firm's costs increase th

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A The Reason Firm S Use Non Linear Pricing Is To Change The Consumer S Preferences Reduce The Firm S Costs Increase Th 1 (71.09 KiB) Viewed 34 times

(a) The reason firm's use non-linear pricing is to change the consumer's preferences reduce the firm's costs increase the firm's sales increase the firm's revenue (b) Suppose the following consumer's have the reserve prices (Table 1) for two goods, sold by the same firm. The good is produced and sold at O marginal cost. Table 1 Good 1 (Reserve Consumer Price $) 1 7 2 6 Good 2 (Reserve Price $) 2 7 3 5 4 4 9 3 5 5 7 The optimal bundle price for the firm is $