Information About the Quality of a Product Is

question 14

Multiple Choice

Information about the quality of a product is

• A)intangible, and therefore not subject to economic principles.
• B)impossible to objectively assess, and therefore not subject to economic principles.
• C)both beneficial to have and costly to obtain, and therefore subject to economic principles.
• D)subject to economic principles only when it is paid for, for example by subscribing to Consumer Reports or by hiring a financial advisor.

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Definitions:

Property Rights

Legal rights to use, control, and dispose of property, including real estate, intellectual property, and tangible goods.

Sustainable Rate

A rate of growth or extraction that can be maintained over time without depleting resources or causing environmental damage.

Individual Transferable Quotas (ITQs)

Limits (quotas) set by a government or a fisheries commission on the total number or total weight of a species that an individual fisher can harvest during some particular time period; fishers can sell (transfer) the right to use all or part of their respective individual quotas to other fishers.

TAC

Total Average Cost, the sum of all production costs divided by the number of goods produced, indicating the average cost per unit of product.