Short Answer 3 sentences for each 1 Extended warranty Using

Short Answer (3 sentences for each):

1) (Extended warranty) Using expectation value reasoning, explain why buying an extended warranty is irrational?

2) (Consequentialism and non-consequentialism) Explain: rights and obligations support the same ethics?

Solution

(1)

Extended warranties could impose net costs if sellers exaggerate the likelihood of product failure or the cost of repair. But this is not evidence of irrational decisionmaking by consumers; it’s evidence of misinformed decisionmaking When sellers mislead buyers to consummate a sale, they are committing fraud. That’s true whether the sale concerns an extended warranty or the product being warranted.