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Which advertising scenario is likely to provide the least amount of economic usefulness? A

Economics Dec 17, 2020

Which advertising scenario is likely to provide the least amount of economic usefulness?

A. NFL player Peyton Manning is shown throwing a football in a toothpaste commercial.

B. An online advertisement is posted at Cars.com for a 2005 Volvo S60 with 60,000 miles, a sunroof, and heated leather seats.

C. An actor in a television commercial is describing the benefits and side effects of a new arthritis medication.

D. A radio commercial for a local restaurant is announcing special prices during any college football broadcast.

Expert Solution

The answer to this question is ''A.'' Peyton Manning throwing a football is the least economically useful because he's not actually promoting the product for the company or providing any information about it.

By comparison, the online advertisement for the car includes information about its make, model and features, so the consumer can make a somewhat educated decision. However, it would have been more useful had it included information about price.

The arthritis commercial states the benefits and side effects of the medication, which allows the consumers to make an educated decision about the advantages and risks associated with the product. Similarly, the radio commercial for a local restaurant allows listeners to make an educated decision about whether or not to eat there during a college weekend is economically useful because it includes information about money-saving prices.

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