Consumers Need Information to Make Good Choices

question 101

Multiple Choice

Consumers need information to make good choices.Which of the following is correct regarding this information?

• A)Advertising is always harmful to consumers.
• B)Information is scarce and therefore valuable.
• C)Brand names offer no informational content.
• D)Acquiring more information is always rational.
• E)Marginal analysis does not apply to the acquisition of information.

---

Definitions:

Ordinary Shares

Shares of a company providing voting rights and entitling the holder to dividends, representing ownership in a corporation.

Financial Liabilities

Obligations that require a company to pay money to another entity, including loans, bonds payable, and accounts payable.