A few days ago
Micah

who can give me a good answer to this question? (for economics class)?

I need a good answer to this:

“What are the effects of advertisement on consumption?”

Top 3 Answers
A few days ago
Smooch The Pooch

Favorite Answer

Another effect is consumption increasing based on the promise of a positive benefit or outcome.

Green tea and its antioxidants

Nutrisystem and weight loss

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A few days ago
TSSA!
Advertisement increases consumption, or skews the distribution between like products.

For example, compare Coca Cola and RC Cola. Coke has a strong brand created by years of advertising. RC Cola did not advertise nearly as hard and gets by selling cheap. People consume coca cola more than RC cola.

Advertising can also increase general consumption. Generally, a household can save money or spend money. Advertising entices them to spend money, which is counted as consumption.

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A few days ago
nish
well it depends on what type of advertising it is. But most of the time since advertising is done to convince people to buy things, n if the advertising campaign is good this will cause an increase in demand for that product. it will shift the demand curve to the right.

but if it gives negative info then there will be a fall in demand shifting the curve inward.

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