Identify the One Statement That Does Not Demonstrate How Social

question 271

Multiple Choice

Identify the one statement that does not demonstrate how social effects influence consumer choice.

• A) Students in an Economics class are required to purchase a textbook assigned by the professor.
• B) There is utility gained from consuming goods or services that others are consuming.
• C) Some products that people consume are determined by the social popularity of the products.
• D) Companies such as Zappos.com and Netflix invite their consumers to write reviews about their experience with their products which are then posted on the internet for others to see.

---

Definitions:

Excess Supply

Excess supply, also known as surplus, occurs when the quantity of a good or service offered for sale exceeds the quantity demanded at the current price.

Market Equilibrium

The condition in which the quantity of a good supplied is equal to the quantity demanded, resulting in no economic pressure to change the price or quantity.

Unregulated Market

A market where there is no governmental control or interference in the transactions between buyers and sellers.

Quantity Supplied

The volume of goods or services that suppliers can and are prepared to dispatch in the market at a particular price point within a defined duration.