"You Ought to Buy That Scarf

question 136

Multiple Choice

"You ought to buy that scarf. It is just like the one that I saw Julia Roberts wearing when she was dining at the Blue Goose Inn." This is an example of a(n) :

• A) suggestive proposition.
• B) prestige suggestion.
• C) direct suggestion.
• D) autosuggestion.
• E) counter suggestion.

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Definitions:

Consumer's Surplus

The variance between what consumers are prepared and capable of spending for a product or service and the actual sum they end up paying.

Price of X

The cost or monetary value associated with acquiring, producing, or selling a good or service named X.

Quasilinear Preferences

Preferences characterized by a linear relationship in one good and non-linear in others, implying constant marginal utility for the linear good.

Consumer Surplus

The gap between the total price consumers are ready and able to spend for a good or service and what they actually spend.