[This is part of the series: The Complete Guide To Economics 101.]
What is price discrimination?
Price Discrimination is exactly what it sounds like, it is charging different prices for the same good or service.
- The 10% student discount at the movies, or the matinee price.
- The senior citizen special at restaurants.
- In-state tuition rates for college.
- Cable or phone service prices for new customers.
- One price if you buy less than 10 units, another price if you buy more than 10 units.