Does advertising is economically inefficient

Reference no: EM132122936

Question: Advertising can inform buyers, but sellers must incur costs to advertise. If so, advertising can result in higher prices to consumers. Does this mean advertising is economically inefficient? If not, explain how it can simultaneously create value and increase market prices. The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM132122936

Questions Cloud

Determine how the transaction is described : Jones purchases medical care from Smith, and the benefits from the exchange are divided between them. Is Smith profiting from Jones's misfortune?

Is the given because cities encourage deviant behavior : People with non-mainstream sexual preferences are a larger percentage of the population of large cities than small towns. Is this because cities encourage.

Draw the economy production possibilities : There are two goods in the economy, anchovies (a fish) and bananas (a farm product). Draw the economy's production possibilities before and after a natural.

Can advertising create economic value : Markets are where people exchange information about potential transactions. If so, can advertising create economic value? Explain.

Does advertising is economically inefficient : Advertising can inform buyers, but sellers must incur costs to advertise. If so, advertising can result in higher prices to consumers.

Explain reason in the given problem : Say alcohol is strictly illegal in your dorm and any student caught supplying or drinking it faces automatic expulsion from school. As you might expect.

How about the demand for high grades in the course : Is the demand curve for children downward sloping? Explain, being careful to specify exactly what you mean by the price of children. What is your evidence?

Do you expect that the given will reduce injuries or deaths : Assume that your probability of surviving an accident is greater in a car equipped with certain safety features. If so, what will be the likely effect.

How about lawsuits and trials : The U.S. legal system generally requires that each party to a civil dispute be responsible for its own legal fees. In England the loser pays the winner's legal.

User Account

All Pages