Chapter 14

Consumers have become more dependent on businesses for product quality because: A) The complexity of products make choices complicated for consumers B) Instructions for use or care of product are provided in clear and simple language C) Their technical competence allows them to inspect the products thoroughly D) Competition has forced manufacturers to market lower-quality goods

A) The complexity of goods makes choices complicated for consumers

A prime social responsibility of business is to safeguard consumers: A) While continuing to supply them with goods and services they want B) While maintaining high profit margins C) By supplying consumers with products at the lowest possible cost D) By providing new technology

A) While continuing to supply them with goods and services they want

Which of the following is not a goal of consumer protection laws? A) Encourage competitive pricing B) Facilitate consumers getting extended credit when making purchases C) Provide consumers with better information when making purchases D) Protect consumers against possible hazards from products purchased

B) Facilitate consumers getting extended credit when making purchase

The "right to be heard" promises that consumer's interests will: A) Be protected against fraudulent or misleading information B) Receive full and sympathetic consideration C) Be assured satisfactory quality and service at a fair price D) Be given all the facts to make an informed choice

B) Receive full and sympathetic consideration

Which of the following is (are) core rights of consumers? A) The right to safety B) The right to be represented C) The right to purchase D) All of te above

C) The right to safety

The primary goal(s) of the Food and Drug Administration include: A) Ensuring the safety and effectiveness of a wide range of consumer products B) Prohibiting unfair or deceptive advertising C) Reviewing and approving new products before they are released to consumers D) Both of these answers are correct: Ensuring the safety and effectiveness of a wide range of consumer products; and reviewing and approving new products before they are released to consumers

D) Both of these answers are correct

Which of the following describes why the consumer movement exists? A) Services have become less specialized B) Some product advertising claims have been inflated C) Some businesses have violated the public's privacy D) Both of these are correct: Some product advertising claims have been inflated; and some businesses have violated the public's privacy

D) Both of these answers are correct

This U.S. agency enforces the laws prohibiting deceptive advertising: A) Congress B) Consumer Product Safety Commission C) Federal Trade Commission D) Department of Justice

D) Federal Trade Commission

Rules in the United States that prohibit competitors from secretly dividing up the market amongst themselves are called A) Antitrust laws B) Deceptive advertising C) Federal Trade Protection Doctrine D) The Right to Privacy

A) Antitrust laws

Warning consumers about the possible side effects of pharmaceutical drugs is an example of consumer protection against: A) Hazardous products B) Predatory pricing C) Incomplete information disclosure D)Violations of individual privacy

A) Hazardous products