Given that consumers need time and information to make good choices, which of the following is correct?
A) Advertising is always harmful to consumers.
B) Time and information are scarce and therefore valuable.
C) Brand names offer no informational content.
D) Acquiring more information is always rational.
E) Marginal analysis does not apply to the acquisition of information.

Question

Quizplus · Accepted Answer

The given statement implies that consumers need time and information to make good choices, which means that time and information are valuable resources for consumers. Therefore, option B is correct. Option A is incorrect as advertising can also provide valuable information to consumers. Option C is incorrect as brand names can indicate the quality, reputation, and trustworthiness of a product or service. Option D is incorrect as sometimes acquiring more information can be costly and inefficient for consumers. Option E is incorrect as marginal analysis can be applied to any decision-making process, including the acquisition of information.

Given That Consumers Need Time and Information to Make Good