The case against advertising includes the assertion that adv

The case against advertising includes the assertion that advertising OA provides consumers with valuable information about product availability, quality, and price. 0 B. ensures high quality and efficient production. OCdecreases competition by increasing barriers to entry of new firms into an industry. O D keeps firms rom spending huge sums of money to create artificial differences among goods.

Solution

1) Solution: causes firms to spend huge sums of money creating artificial differences among goods.

Explanation: The cost of advertising is high; and thus advertising expenditure for creating artificial differences among goods results to violation

2) Solution: some

Explanation: Because the firms are producing differentiated products thus holds some market power can charge higher prices

3) Solution: not be successful because the number of firms is unmanageable and there are a number of good substitutes for strawberries

Working: Since the strawberries have high number of substitutes and firms growing strawberries are also high thus cartel might not be successful