Economists argue that advertising can have a negative effect on consumer choice by:

Question

Quizplus · Accepted Answer

Economists believe that advertising can increase the cost of products, discouraging potential new competitors from entering the market. This can lead to fewer choices for consumers and the creation of brand monopolies where a small number of large companies dominate the market. Additionally, advertising often focuses on building brand loyalty, which can limit consumer choice by reducing the opportunities for new products to be introduced. Market aggregation is not a term used to describe the negative effects of advertising on consumer choice.

Economists Argue That Advertising Can Have a Negative Effect on Consumer