Economics Chapter 11

The federal agency that inspects and regulates the grading of meats, fruits, and vegetables is

Advertisers try to develop loyalty to brand names.

Which of the following is a type of nongovernmental consumer service provider?

Paid announcements that call attention to a product or service in the hopes of attracting

Ads that offer you something for nothing are often reliable ads.

Having a budget guarantees that you are going to get the most for your money.

Consumer credit serves to keep up the high level of spending needed for a healthy U.S. economy.

W/o advertising, the costs of producing many of the entertainment events we are accustomed to

In recent years, home equity loans have become very popular.

Which of the following is not a disadvantage of advertising?

An advertiser might claim that a well-known actor/personality uses a product or service, and

The Consumer Product Safety Commission

There are no federal agencies that provide some form of protection/information to consumers.

Banks & other financial institutions can't make personal loans on a customer's general credit.

The title to the merchandise passes to the buyer in exchange for a promise to pay with a(n)

Some large retail chains issue their own credit cards.

Advertising is both good and bad for consumers.

A method of buying something on credit with scheduled payments over time is called a(n)

The collateral for a mortgage loan is

Which of the following is a potential cost of credit cards?

Industry associations

Professionals, such as doctors, lawyers, and teachers, all have their own associations to

There are no laws to protect consumers against advertising tactics.

Buying on credit never saves people money in the long run.

Credit cards permit their holders to charge purchases at thousands of retail locations

Additional fees incurred by consumers as a result of paying their charge account bills late are

The Federal Trade Commission

One of the most common appeals used by advertisers is based on the knowledge that

A product that doesn't have a brand name but carries the name of the store/chain of stores is a

It is wise to learn how to use credit properly.

The term "equity" refers to the value remaining on a property after deducting the mortgage.

Most mortgages have a variable interest rate.

A product that doesn't have a brand name but competes with the brand name product is called a

Buyers are entitled to repay a portion of the outstanding balance each month on

The fair market value of a home is $100,000. The mortgage balance is $30,000. The equity is

A loan to finance the purchase of a home is called a

The wise consumer uses advertising with intelligence and caution.

The purpose of advertising is to increase sales by creating demand for the advertised products.

Today, the use of credit has become a way of life for millions of U.S. consumers.

The major disadvantage of a home equity loan is that one can lose their home if they

Which of the following is not true about being a wise shopper?

Which of the following is not an advantage of advertising?

The purpose of the Better Business Bureau is to

Which of the following is not a step that can help you shop wisely?

You can't get into financial difficulty if you pay your credit card minimum monthly payt.

Current federal tax laws do not allow for the deduction of interest on home equity loans.

In order to get the most for your money, it is important to learn to be a wise shopper.

Which is a technique relied on by advertisers to create demand and to sell their products?

The advertising/sales tactic involving a store advertisement of a well-known product offered at

Borrowers who obtain variable-rate mortgages typically pay a

A bank in which a borrower has a savings account may extend a low-interest loan based on

The interests of industry associations are always the same as the interests of consumers.

Advertisers pay for most of the programs we watch on TV or listen to on the radio.

Some people use their home as collateral in purchasing major consumer goods, and this is called

Until about 100 years ago, borrowing by individuals was looked at as a good thing.

People use credit because it enables them to buy things now rather than later.

Advertising provides a major source of income for

The federal agency that protects consumers against dangerous foods, drugs, and cosmetics is the

State/local governments do not provide any type of protective services/info to consumers.

Many industries are organized into associations.

Home equity loans can be obtained at rates