Author Question: Critics of advertising argue that it: a. lowers price by increasing competition. b. results in ... (Read 73 times)

MirandaLo · **on:** Jun 30, 2018

Critics of advertising argue that it:
a. lowers price by increasing competition.
b. results in more variety of products.
c. establishes brand loyalty, which promotes competition.
d. serves as a barrier to entry for new firms.

Question 2

Implicit costs are:
a. the opportunity costs of using resources owned by the entrepreneur in his/her own business.
b. payments the business owner must make on borrowed funds.
c. costs which vary as the level of output varies.
d. those payments the business owner makes in cash.
e. the payments the business owner makes for public relations, such as donations to charity.