An Automobile Manufacturer Charges a Higher Price for Its Hybrid

question 200

Multiple Choice

An automobile manufacturer charges a higher price for its hybrid car that runs on both electricity and gasoline than it charges for a car that runs on only gasoline.The manufacturer contends that the consumer will save money with the hybrid car in the long run because the money saved on gasoline will more than cover the price differential between the hybrid car and a regular car.This manufacturer is using

• A)price leadership.
• B)price lining.
• C)value in use pricing.
• D)psychological pricing.
• E)reference pricing.

Understand the concept of subjective assessment in determining probabilities.

Understand and apply different methods for establishing probabilities (method of equal alternatives, method of frequency, intuitive judgment, counting method).

Distinguish between situations where each outcome has a different probability and those where they do not.

Recognize that different methods can yield different probabilities for the same event.

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Definitions:

The Cosby Show

An American television sitcom starring Bill Cosby, focusing on the life of an African American family in Brooklyn, New York during the late 20th century.

Black Family

The term refers to the family unit in the African American community, highlighting cultural, historical, and social aspects unique to their experiences.

Rodney King

An African American man whose beating by Los Angeles police officers in 1991 was captured on video, sparking widespread riots and discussions about police brutality.

Civil Rights

The rights of citizens to political and social freedom and equality.