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Due to a Recent Relaxation in Pollution Standards, Ford Motors

question 55

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Due to a recent relaxation in pollution standards, Ford Motors is withdrawing its electric-powered cars from sales in the U.S. market. Ford is responding to a change in which of the following macroenvironmental forces?


Definitions:

Preferences

The subjective tastes or desires of individuals or entities, which determine their choices among various options.

Inferior Good

A type of good for which demand decreases as the income of consumers increases, contrasting with normal goods.

Price Increase

A rise in the cost of goods or services.

Revealed Preference

A theory that determines consumer preferences based on observing their choices and behavior, assuming consistency in their decision-making.

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