The fact that consumers often react more to changes in the posted price of a good as compared to changes in the sales tax that is not posted is an example of
A)salience.
B)salinity.
C)stupidity.
D)rational ignorance.

Question

Quizplus · Accepted Answer

Salience refers to the degree to which an issue is noticeable or important to people. In this case, consumers are more likely to notice and react to changes in the posted price (which is more salient) than changes in the sales tax (which is less salient and not always posted).

The Fact That Consumers Often React More to Changes in the Posted