4)a tennis pro charges $15 per hour for tennis lessons for children and $30 per hour for tennis lessons for adults. the tennis pro is practicing: 4)a)first-degree price discrimination. b)second-degree price discrimination. c)third-degree price discrimination. d)fourth-degree price discrimination. e)fifth-degree price discrimination.

The correct answer is b). Second-degree price discrimination.

Explanation:

Price discrimination can be said to be practiced when different prices are charged for the same good or service. Three types of price discrimination exist– first-degree, second-degree, and third-degree price discrimination.

Second-degree price discrimination occurs when a company charges a different price for different quantities consumed. Such can be seen in situations of bulk purchases.

C) third-degree price discrimination

Explanation:

-First-degree price discrimination is when a business has a different price for each unit consumed.

-Second-degree price discrimination is when a company has a different price for different quantities.

-Third-degree price discrimination is when a business has different prices for different segments of the market.

-Fourth-degree price discrimination is when a company has the same prices but has different costs.

According to this, the tennis pro is practicing third-degree price discrimination because he has different prices for children and adults which are different market segments.

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