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Economists Believe That If Government Provides Information About Product Quality

Question 135

Multiple Choice

Economists believe that if government provides information about product quality:


A) there will be less incentive for consumers to pay extra for quality guarantees supplied by firms.
B) consumers will be forced to pay for information when otherwise it would have been available for free.
C) the overall quality of products sold will increase substantially, eliminating the information problem.
D) the cost of providing information will be zero.

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