Which example best illustrates second-degree price discrimination?

Second-degree price discrimination occurs when a seller charges different prices based on the quantity purchased or the product version, rather than directly targeting specific consumer groups based on their willingness to pay. Offering discounts on bulk purchases exemplifies this concept well. In this scenario, consumers who buy larger quantities of a product can take advantage of lower prices per unit, incentivizing them to purchase more.

This strategy allows the seller to capture more consumer surplus by offering better prices to those willing to commit to larger purchases, while also maintaining higher prices for those who buy smaller amounts. It is a clear illustration of how pricing can vary based on the context of the purchase, which aligns with the principles of second-degree price discrimination.

In contrast, the other examples focus on direct pricing strategies that target specific consumer characteristics or needs, which do not fit the definition of second-degree price discrimination.