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Women are often charged more than men for haircuts performed by the same haircut

ID: 1134385 • Letter: W

Question

Women are often charged more than men for haircuts performed by the same haircutter. This is not considered price discrimination because:

women receive more consumer surplus from haircuts than men receive.

haircutters claim to spend more time on women’s hair, raising the cost of the haircut to the firm.

firms make up the extra cost to consumers by giving women free samples of products.

men receive more consumer surplus from haircuts than women receive.

women have a lower price elasticity of demand for haircuts.

Explanation / Answer

Ans: haircutters claim to spend more time on women’s hair, raising the cost of the haircut to the firm.

Explanation:

Obviously, more time is required by the haircutter to cut women's hair. Thats way Women are often charged more than men for haircuts performed by the same haircutter.

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