Question

While advocates of a market-oriented economy tend to argue that consumers benefit substantially when firms seek short-term profits by providing differentiated products, critics of market-oriented economies may argue that product differentiation (along with marketing and advertising) is _______________. Select the correct answer below: dishonest socially wasteful low quality boring

Answer 1

Answer: socially wasteful

Explanation:

Product differentiation is when a product is being distinguished from similar products in order to make it more appealing and therefore drive consumers choice.

It should be noted that critics of market-oriented economies may argue that product differentiation is socially wasteful.