In 1990,Chrysler Offered Rebates on Almost All of Its Cars

question 38

Essay

In 1990,Chrysler offered rebates on almost all of its cars.In May of that year it announced that the rebate program would end on June 30.It also announced that no further rebates would be offered for the rest of the year.Chrysler guaranteed this by promising that if it did offer any rebates larger than those offered between May 1 and June 30,all customers who purchased cars before the new rebate would get the full rebate.How should this announcement have affected the pricing behavior of other car manufacturers?

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Definitions:

Temporary Memory Impairments

Short-term reductions in the ability to retain or recall information, possibly due to injury, illness, or a specific condition.

Monoamine Oxidase

An enzyme that breaks down monoamines, which are neurotransmitters in the brain, and plays a role in mood regulation.

Hypertensive Crisis

A medical condition characterized by a severe and rapid increase in blood pressure that can lead to stroke, heart attack, or other serious complications.

Inhibits

To restrain or hold back an action, process, or growth, often referring to biochemical or psychological reactions.