In which of the following types of price discrimination does the monopolist use the quantity purchased by a consumer to determine how much she values the product?

• In first degree price discrimination, the monopolist charges each consumer the highest price she is willing and able to pay.
• In second‐degree price discrimination, the monopolist offers a variety of quantity‐based pricing options that induce customers to self‐select based on how highly they value the product (e.g., volume discounts, product bundling).
• Third‐degree price discrimination can occur when customers can be separated by geographical or other traits. One set of customers is charged a higher price while the other is charged a lower price (e.g., airlines charge higher fares on one-day, round‐trip tickets, as they are more likely to be purchased by businesspeople).