Which statement about price discrimination is true? (LO4) a) It generally hurts the poor. b) It is inherently evil. c) It involves charging at least two separate prices for the same good or service. d) It generally involves deceiving the consumer.

Price discrimination is a pricing strategy where identical or largely similar goods or services are sold at different prices by the same provider in different markets or segments. This can be done in various ways such as charging different prices to different consumer groups, offering quantity discounts, or implementing product versioning.

Let us analyze each option: a) It generally hurts the poor: While price discrimination can sometimes be unfavorable to those with lower incomes, it is not always true and is therefore not a general statement about price discrimination. Some practices, like discount pricing or financial aid, can actually benefit the poor. b) It is inherently evil: This is a value judgment and not a neutral statement about price discrimination. The morality of this practice depends on the context and the repercussions on the different stakeholders. c) It involves charging at least two separate prices for the same good or service: This statement is generally true as price discrimination implies that different prices are charged for the same or largely similar product to different consumer segments or markets. d) It generally involves deceiving the consumer: While some forms of price discrimination may involve opaque pricing or manipulation of information, it is not a general characteristic of the phenomenon. Transparent pricing policies can also involve price discrimination (e.g., quantity discounts, student pricing).

Based on our analysis, the correct answer is: c) It involves charging at least two separate prices for the same good or service.