A Company Advertises That Test Driving a Car from New

question 64

Multiple Choice

A company advertises that test driving a car from New York to Los Angeles got 35 miles per gallon. That is true, but the mileage was achieved by carefully driving at the speed limit, which resulted in better mileage than the ordinary driver gets. Under the FTC deception policy, this ad is:

• A) not deceptive because the ad has no impact on consumer behavior
• B) not deceptive by definition if the company can provide documents that show that the tests were accurate
• C) deceptive because the ad omits important facts and fails to provide full information
• D) deceptive because the ad will mislead consumers who do not know how such mileage tests are conducted
• E) none of the other choices

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Definitions:

Work

The exertion of effort or the accomplishment of tasks to produce goods, provide services, or achieve certain outcomes.

Social IOUs

Informal obligations or expectations for reciprocal actions within personal and professional networks, often based on goodwill or past favors.

Political Tactic

Strategies or maneuvers used within an organization or political setting to gain advantage or influence outcomes, often involving power and negotiation.

Empire Building

The practice of accumulating power and control within an organization for personal gain, often at the expense of overall efficiency.