If the Consumer Knows the Risks Associated with the Use

question 72

Multiple Choice

If the consumer knows the risks associated with the use of a product and still chooses to use it he is:

• A) assuming the risk and thus relieving the manufacturer of liability
• B) assuming the risk, but not relieving the manufacturer of liability
• C) still able to sue if the manufacturer if injured because of ultimate liability
• D) still able to sue the manufacturer if injured because of absolute liability
• E) none of the other choices are correct

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Definitions:

Exchange Rate

The rate at which one currency can be exchanged for another.

Relative Purchasing Power Parity

An economic theory that suggests the rates of inflation between two countries will affect the exchange rate between their two currencies.

Expected Inflation

An estimation of the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Real

Pertaining to tangible or actual assets, situations, or values, as opposed to hypothetical or projected ones.