All of the Following Are True,except

question 5

Multiple Choice

All of the following are true,except

• A)Some consumers may infer high prices of a good to signal high quality
• B)Low prices can also signal high quality
• C)Promotional campaigns do not affect consumer's perception on quality
• D)It makes more sense to raise price when advertising makes demand less elastic

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Definitions:

Different States

Variations across U.S. states or countries, particularly concerning laws, regulations, and cultural practices.

Diversity of Citizenship

A legal principle allowing the federal courts in the United States to hear cases where the parties are citizens of different states or a foreign country.

Federal Questions

Legal issues revolving around the interpretation of the U.S. Constitution, federal laws, or treaties, which federal courts are authorized to resolve.

Ethnicity

A social group that shares common cultural traits, such as language, religion, or ancestral origins.