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Advertising Is an Economically Productive Activity and NOT a Waste

Question 186

Multiple Choice

Advertising is an economically productive activity and NOT a waste of resources because:


A) advertisements increase profits.
B) advertisements can convey information about the product.
C) if consumers don't have good information about a product, ads can serve as indirect signals about the provider.
D) advertisements can convey information about the product, and if consumers don't have good information about a product, ads can serve as indirect signals about the provider.

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