Advertising increases the costs of firms and could be manipulative; therefore, it does not really have a positive economic effect.

Question

Quizplus · Accepted Answer

Advertising can increase consumer awareness and demand for products, leading to higher sales volumes and economies of scale, which can reduce per-unit costs. It also fosters competition and innovation, contributing positively to economic growth.

Advertising Increases the Costs of Firms and Could Be Manipulative;