Consider the Following Scenario: There Are Two Types of Customers

Consider the following scenario: There are two types of customers: the myopes (short sighted) and the sophisticates. Now, imagine two hotel chains. The first, Hidden Price Inn, has a very low room rate of US$80 a night, but makes liberal use of high "shrouded" fees: US$3 for a minibar Coca-Cola, US$25 for parking, US$2 for local calls. The second chain, Straightforward Suites, charges much more reasonably for the extra costs (US$1 for a minibar Coca-Cola, , US$10 for parking, and no charge for local calls ) , but because it makes less on the extras, it has to charge slightly more for the room - US$95, instead of US$80. The myopes are lured by Hidden Price Inn's low room rate but end up spending far more because of the fees on the extras. The sophisticates, on the other hand, know all about hidden fees. They seek out low advertised rates and whenever possible avoid or find substitutes for the hidden fees such as using cell phones at hotels and avoiding the minibar.
In a competitive market, it would appear that Straightforward Suites has a strong incentive to launch an advertising campaign to expose Hidden Price Inn's liberal use of hidden fees. But, economists Xavier Gabaix and David Laibson argue to the contrary. Which of the following supports their argument?

A) Since it is difficult to distinguish between the myopes and the sophisticates, it is unclear whether the advertising campaign would affect the intended consumers.
B) Hidden Price Inn is likely to retaliate with an advertising campaign of its own pointing out the saving in the room rate more than offsets the higher price of the extras, thereby sparking an advertising war.
C) It is too complex to explain the deceptive pricing structure, and too costly to launch such an advertising campaign.
D) At best, the campaign would convert some myopes into sophisticates and these newly wised -up customers will spend less on any hotel they frequent, thus hurting the hotel industry in general.