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Disney World decides to charge local residents a lower price than other park visitors. This would fall under which field of economics?

a. Price discrimination
b. Microeconomics
c. Behavioral economics
d. Macroeconomics

User NthDegree
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1 Answer

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Final answer:

Disney World charging locals a lower price is an example of price discrimination, a concept in microeconomics where different consumers are charged different prices for the same service.

Step-by-step explanation:

Disney World's decision to charge local residents a lower price than other park visitors falls under the field of price discrimination. Price discrimination is a microeconomic concept that involves charging different prices to different groups of consumers for the same product or service, when the price differences are not due to differences in cost. This strategy can increase a company's revenues by capturing more consumer surplus. In this case, Disney World may be using market forces and local competition to optimize their pricing strategy.

User Berkay Kirmizioglu
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