The FTC Remedy of "Affirmative Disclosure" Would Require

question 2

Multiple Choice

The FTC remedy of "affirmative disclosure" would require:

• A) a new ad that admits the first ad was false.
• B) providing certain information in a company's ads.
• C) that the advertiser desist from deception in all products it markets.
• D) All of these would be required.

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Definitions:

Pareto Optimal

A distribution state of resources where trying to improve the status of one individual inevitably leads to the decline of another's.

Competitive Equilibrium

A state in a market-based economy where supply equals demand, and prices are stable, facilitating the optimal distribution of resources.

Contract Curve

In an Edgeworth Box diagram, the curve that represents all the Pareto efficient allocations between two consumers.

Pareto Optimal

A situation of distribution where improving the condition of any individual necessitates the detriment of at least another individual.