In a market where a firm practices first-degree price discrimination, how does the elasticity of demand affect the prices charged to different consumers?

In a market with first-degree price discrimination, a firm charges each consumer the maximum price they are willing to pay. This means that if a consumer has a high willingness to pay, the firm will set a higher price for them. On the other hand, if a consumer is more sensitive to price changes, meaning they have a more elastic demand, the firm will charge them a lower price to encourage them to buy. For example, consider a concert where some people are willing to pay $100 for a ticket, while others can only afford $50. The firm will charge $100 to those willing to pay more and $50 to those who are more price sensitive, allowing the firm to capture more consumer surplus and maximize its profits.