Rackspace Is a Web Hosting Company

question 64

Multiple Choice

Rackspace is a web hosting company. That means that if you want to have a site on the web, you could buy not only Internet space from them, but also technical support, and design services. When its ad tells you that its users consider Rackspace "the risk-free host because it offers dedicated and helpful support any time day or night," you know that Rackspace is trying to:

• A)reduce new buyers' cognitive dissonance.
• B)increase new buyers' cognitive dissonance.
• C)downgrade the competition.
• D)produce an evoked set.

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Definitions:

Productive Efficiency

A situation where the economy or an economic system operates in a way that it cannot produce more of one good without affecting the production of another good.

Voting Paradox

The voting paradox, or Condorcet paradox, illustrates a situation in a voting system where collective preferences can be cyclic, even if the individual preferences are non-cyclical.

Voter Failure

A situation where voters make an uninformed or poor choice, often due to lack of information or misleading information, that does not align with their interests.

Negative Externalities

Costs or disadvantages suffered by a third party due to an economic transaction that they are not directly involved in.