Because consumers often possess incomplete information in markets,

Question

Quizplus · Accepted Answer

All of the given choices are correct. Consumers often lack complete information about products in markets, so gaining information can be costly or difficult. Brand names provide valuable information to consumers about the quality of products. Firms often provide information through marketing to help consumers make informed choices. Guarantees can help to increase consumer confidence in a product, especially when information is incomplete or uncertain.

Because Consumers Often Possess Incomplete Information in Markets