<u>Full question:</u>
A consumer product for which buyers will not accept a substitute, for which purchasers do not compare alternatives, and that is purchased infrequently and with extra effort on the buyer's part is a ____ product.
A. luxury
B. business
C. Specialty
D. Shopping
E. Convenience
<u>Answer:</u>
A consumer product for which buyers will not accept a substitute, for which purchasers do not compare alternatives, and that is purchased infrequently and with extra effort on the buyer's part is a Specialty product.
<u>Explanation:</u>
A specialty product is a commodity that some customers will actively attempt to buy because of unprecedented features or adherence to a particular brand. Customers who endeavor specialty products know what they require and will consume time and attempt to take it.
Typically, these customers will not readily acquire replacement products. Some companies only market specialty products that promote other products in the market. Specialty products in this range are sold to request to consumers want to individualize what they previously have.
Answer:
b. structural unemployment
Answer:
Standard of value.
Explanation:
When money serves as a common denominator for measuring the exchange rates among goods and services, it performs as a standard of value.
Standard of value is an agreed-upon worth for a transaction in a country's medium of exchange, such as the U.S. dollar or Mexican peso. A standard of value allows all merchants and economic entities to set uniform prices for goods and services
Answer:
External failure costs.
Explanation:
These are explained to be the faults or defects a customer finds out or see after receiving his good and leaves the factory or finds out when goods or services has been delivered to him/her.
This can be either internal or external. When seen to be an internal aspect of the failure, costs result from identification of defects before they are shipped to customers. Some of these could include rejected products, reworking of defective units, scrap and also downtime caused by quality problem. It is said that a firms appraisal activities creates chances greater than the chance of catching defects internally and the greater the level of internal failure costs. This is the price that is paid to avoid incurring external failure costs, which can be devastating.
Answer:
d
Explanation:
A good has positive externality if the benefits to third parties not involved in production is greater than the cost. an example of an activity that generates positive externality is research and development. Due to the high cost of R & D, they are usually under-produced. Government can encourage the production of activities that generate positive externality by granting subsidies.
A good has negative externality if the costs to third parties not involved in production is greater than the benefits. an example of an activity that generates negative externality is pollution. Pollution can be generated at little or no cost, so they are usually overproduced. Government can discourage the production of activities that generate negative externality by taxation. Taxation increases the cost of production and therefore discourages overproduction. Tax levied on externality is known as Pigouvian tax.
Government can regulate the amount of externality produced by placing an upper limit on the amount of negative externality permissible
Coase theorem has been proposed as a solution to externality. According to this theory, when there are conflicting property rights, bargaining between parties involved can lead to an efficient outcome only if the bargaining cost is low
Another solution to negative externality is through the activities of charities. Charities can raise donations to limit or regulate the activities of firms that constitutes a negative externality.
