Consumer Advocates Believe the Practice of Downsizing by Consumer Products

question 340

Multiple Choice

Consumer advocates believe the practice of downsizing by consumer products firms has resulted in

• A) lower product prices for consumers because of lower labor, raw material, and packaging costs.
• B) a greener environment due to the reduction in packaging, thereby reducing the amount of waste entering landfills.
• C) fewer product choices for consumers that led to rising prices.
• D) low prices in response to the psychological barriers consumers have for change.
• E) a subtle, deceptive, yet legal practice of disguising a price increase.

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Definitions:

Tax

A compulsory charge by the government on individuals or entities' income, property, or goods, used to fund public services and government obligations.

Deadweight Loss

Deadweight loss refers to the loss of economic efficiency when the equilibrium outcome is not achievable or is not achieved in the market.

Tax

A compulsory monetary fee or a different kind of charge levied on a taxpayer by a government entity to finance government expenses and various public costs.

Buyers

Individuals or entities that purchase goods or services for consumption, use, or investment.