Bus 100 Ch 14 Quiz

Consumer groups have generally opposed the idea of product liability reform using which of the following arguments?

A. The burden of proof should be shifted to consumers. B. Losers should be made to pay some of the other side's legal bills. C. Strict liability should be retained. ***** D. Punitive damages should be limited.

Online shoppers always run the risk that:

A. The government might become overly involved in protecting consumer privacy. B. Information they reveal in the course of a sales transaction might be misused.***** C. Their favorite Web sites provide a large variety of products and services. D. They might have to pay state and local taxes on goods purchased.

Which of the following is (are) core rights of consumers?

A. The right to be represented. B. The right to safety. **** C. The right to purchase. D. All of the above.

The "right to be heard" assures that consumers' interests will:

A. Be given all the facts to make an informed choice. B. Be protected against fraudulent or misleading information. C. Be assured satisfactory quality and service at a fair price. D. Receive full and sympathetic consideration.*****

In some cases, businesses have banded together to agree on how they will treat their customers. This is called:

A. Code of regulation. B. Voluntary industry codes of conduct.***** C. Consumer affairs doctrine. D. Industry action standards.

In the United States, which of the following agencies enforces the laws prohibiting deceptive advertising?

A. Federal Trade Commission.**** B. Department of Justice. C. Congress. D. Consumer Product Safety Commission.

Warning consumers about the possible side effects of pharmaceutical drugs is an example of consumer protection against:

A. Incomplete information disclosure. B. Predatory pricing. C. Hazardous products.*** D. Violations of individual privacy.

When businesses adopt voluntary policies for protecting the privacy of individuals' information disclosed during electronic transactions, this is an example of:

A. Privacy legislation. B. Industry self-regulation.**** C. Business privacy regulation. D. Consumer self-help.

Which of the following is not a goal of consumer protection laws?

A. Provide consumers with better information when making purchases. B. Facilitate consumers getting extended credit when making purchases.***** C. Encourage competitive pricing. D. Protect consumers against possible hazards from products purchased.

Which of the following describe(s) 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 B and C, but not A.****