In Determining the Reasonableness of a Buyer's Reliance on a Seller's

question 26

Multiple Choice

In determining the reasonableness of a buyer's reliance on a seller's statement purported to be an express warranty, it can be considered that a reasonable person is more likely to rely on

• A)an expression of puffery.
• B)a feature asserted to be "always" or "never."
• C)an oral statement by a salesperson.
• D)a written statement in an ad.

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Definitions:

Excess Burden

A measure of the economic loss that can occur when market behavior is distorted, often due to inefficient taxation or government policies.

Economic Activity

All actions that involve the production, distribution, and consumption of goods and services in an economy.

Tax Burden

The total amount of taxes that individuals or businesses must pay to the government.

Inelastic Demand

A market condition where the demand for a product does not change significantly with a change in its price.