Familiarity and Repeated Exposure Can Sometimes Make Bad Things Worse

question 189

Multiple Choice

Familiarity and repeated exposure can sometimes make bad things worse. What does this idea best illustrate?

• A)The  bad apple effect
• B)The  social allergy effect
• C)The  overexposure effect
• D)The  propinquity effect

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Definitions:

Price-Searcher Firm

A company that operates in a market with differentiated products and has some control over the price of its product because it faces a downward-sloping demand curve.

Profit Maximization

is the process or strategy by which a firm adjusts its production and sale levels to achieve the highest possible profit.

Price Takers

Firms or individuals who accept the market price as given and have no influence to change it.

Product Variety

The range of different goods or services offered by a company or available in a market.