Nancy Is Trying to Decide Which Car to Buy

question 15

Multiple Choice

Nancy is trying to decide which car to buy. According to Richard Petty and John Cacioppo's elaboration likelihood model of persuasion, Nancy will be more likely to process information about the cars she researches through the central route if

• A) the information is associated with a pleasant stimulus.
• B) she does not know much about cars.
• C) she does not care about cars.
• D) she is personally motivated to devote time and energy to the information.

---

Definitions:

Marginal Cost

The added expense required to produce one more unit of a product or service.

Fixed Cost

An expense that remains constant regardless of the volume of products or services manufactured or distributed.

Monopoly Profits

The excess profits earned by a monopoly as a result of its ability to set price above marginal costs due to lack of competition.

Duopoly

A market structure dominated by two firms, each of which has significant control over the market price.