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34. Third Degree Price Discrimination

In this video, I demonstrate how to think about third degree price discrimination in a market with two distinguishable segments. Along the way, I demonstrate how come the more elastic group of consumers pays a lower price, and how to use the equimarginal principle to learn about monopolies that set multiple prices. For a list of videos and links to these videos (organized by topic), check out the Intromediate Microeconomics video web page: http://blog.thisyoungeconomist.com/p/learn-microeconomics.html
Length: 04:10

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