When Consumers Believe a Statement Simply Because It Has Been

question 12

Multiple Choice

When consumers believe a statement simply because it has been repeated a number of times, it is referred to as _____.

• A) body feedback
• B) the truth effect
• C) a peripheral cue
• D) an emotional appeal
• E) the frequency heuristic

Understand strategic considerations in setting pay levels and dealing with wage compression.

Grasp the importance of internal and external equity in compensation management.

Understand the role of job classifications and benchmarks in determining pay.

Recognize the significance of legislation on compensation strategies and practices.

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Definitions:

Excess Demand

A situation where the demand for a product or service exceeds its supply in a market.

Price

The amount of money that must be paid to acquire a given product or service.

Quantity Demanded

The amount of a product that buyers are willing and able to purchase at a given price.

Excess Supply

The situation where the quantity of a good or service supplied exceeds the quantity demanded at the current price.