Jan Needed a New Phone So She Went to the Phone

question 149

Multiple Choice

Jan needed a new phone so she went to the phone store where they offered her the latest Samsung for 1500 dollars. She said no, so they offered her the phone for 800 dollars. She agreed to buy the phone. Jan has just experienced

• A)lowballing
• B)the door-in-the-face technique
• C)the foot-in-the-door technique
• D)the fundamental error
• E)the central route of persuasion

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Definitions:

Relative PPP

Relative Purchasing Power Parity, a theory which states that the rate of inflation between two countries will be offset by an equal but opposite change in the exchange rate.

International Fisher

An economic theory stating that the difference in nominal interest rates between two countries is directly proportional to the expected change in the exchange rates between their currencies.

Strengthening

Generally refers to the process of becoming stronger or more firm, often used in financial contexts to describe currencies or economies that are improving in value or performance.

British Pound

The official currency of the United Kingdom, also known as GBP, symbolized by £.