blaw unit 2 t/f questions ch 21

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T/F: A consumer may not be denied credit on the basis of a credit report

false

T/F: A loan between two consumers is subject to the Truth-in-Lending Act

false

T/F: An ad that contains a "half-truth"—information that is true but incomplete—is not deceptive

false

T/F: Car manufacturers may attach a label to new cars showcasing fuel economy if they so choose

false

T/F: Counteradvertising is prohibited

false

T/F: Product labels do not need to be accurate if they use easily understood words

false

T/F: Telephone solicitation using an automatic dialing system is permitted

false

T/F: The Fair Debt Collection Practices Act applies to anyone who tries to collect a debt

false

T/F: The U.S. Food and Drug Administration (FDA) is the only federal agency permitted to regulate food labeling

false

T/F: The most important legislation regulating food and drugs is the Effective Food and Drug Act

false

T/F: A consumer who believes that he or she has been or may be victimized by identity theft may place an alert on his or her credit file

true

T/F: A credit-reporting agency may issue a credit report to anyone who asks

true

T/F: Congress passed the Food Safety Modernization Act (FSMA) in 2010 to provide greater government control over the U.S. food safety system

true

T/F: Drugs must be shown to be effective and safe before they can be marketed

true

T/F: Health-care reforms enacted in 2010 allowed those under the age of twenty-six to remain covered by their parents' health-insurance policies

true

T/F: In some instances, labels must specify the raw materials used in the product

true

T/F: In some instances, products must carry a warning

true

T/F: On request, a consumer may obtain the source of any information being given out by a credit agency

true

T/F: Package labels must use words that the ordinary consumer understands

true

T/F: The Consumer Product Safety Commission (CPSC) can ban a product that poses an "unreasonable risk" to consumers

true

T/F: The Energy Policy and Conservation Act (EPCA) requires automakers to attach an information label to every new car

true

T/F: The Energy Policy and Conservation Act (EPCA) requires automakers to attach an information label to every new car that includes fuel economy estimates for the vehicle

true

T/F: The Nutrition Labeling and Education Act regulates the use of the terms fresh and low fat

true

T/F: The test for whether an ad is deceptive is whether a reasonable consumer would be misled

true


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