Sagot :
A perfect price discriminating monopoly captures all consumer surplus.
In the market, perfect price discrimination, occurs when a firm charges a different price for every unit which is consumed. Thus, this way the firm is able to charge the maximum possible price for each unit which enables the firm to capture all available consumer surplus just or itself.
Price discrimination does not eliminate consumer surplus altogether, but it does allow a company to increase its profit margin on the subset of its consumer base. However, a consumer surplus occurs when price that consumers pay for a product is less than the price they are willing to pay.
Hence, option B is correct.
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