If a firm practicing perfect price discrimination maximizes its profits, which of the following outcomes is most likely to occur in terms of consumer welfare?

When a firm practices perfect price discrimination, it sets different prices for each consumer based on their willingness to pay. This means that the firm captures all consumer surplus, which is the extra benefit consumers get from buying a product for less than they are willing to pay. As a result, while the firm maximizes its profits, consumer welfare tends to decrease because consumers end up paying exactly what they are willing to pay, leaving them with no surplus. For example, if someone is willing to pay $100 for a product but the firm charges that exact amount, the consumer does not gain any extra value from the purchase. Therefore, in this scenario, consumer welfare is likely to be lower compared to a situation where a single price is charged for all consumers.