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E. Violation of trade regulation rules, B. false According to deontological thinker Kant: I. The majority of the court in Livestock Marketing Association, however, distinguished that case and others like it on the ground that the beef situation was a compelled-subsidy case--not a true compelled-speech case--and, more impotrtant, the advertising campaign itself represented "government speech," not speech by a private person against his or her wishes. -incontestable period The new law permits state and local governments to: because the company is in weak financial condition, the treasurer instructs the company claims manager to delay recording several large claims settlements. Pr(\operatorname{Pr}(Pr( Audi after Ford )=0.6Pr(VW)=0.6 \quad \operatorname{Pr}(\mathrm{VW})=0.6Pr(VW after Ford )=0.4)=0.4)=0.4 -protection of proceeds against the insured's and the beneficiary's creditors Imagine that a company is nearing the end of an advertising campaign in which it has advertised that its mouthwash can prevent a consumer from getting a common cold. Which of the following statements describes the NAD/NARB review process? C. According to the Federal Trade Commission consumers believe in puffery. D. advertisers, agencies, and the media. A. C. a commercial is rejected for reasons such as sex and politics. After a disability policy has been in force for _____ years, it is considered incontestable. A. 2. An entire industry can be treated similarly, and just one or two businesses are not picked out for complaint. B. Acme's competitors may sue the company under the Lanham Act if it cannot substantiate its claims. b. adopted the principle of caveat emptor. "likely to mislead the consumer" _______________________ (_____): This organization, a self-regulatory forum for the advertising industry, reviews national advertising for truthfulness and accuracy, and it provides a form of alternative dispute resolution for companies that is cheaper than litigation. -47% of the time people can't tell it is native advertising An advertiser seeking redress under this federal law can seek to stop the misleading practice and/or win money damages. A. A. commercial speech. -insured Although $1 taken alone may seem small for each sale, the program has collevted more than $1 billion since 1988. -receive matching funds to expand public assistance programs Under the watchful eye of the FTC, the following general advertising rules must be followed: Ads must be truthful and non-deceptive. Instead, the FTC enforces the law, with help from the Justice Department and the FBI. -Consent agreement D. corrective advertising. B. -Voluntary compliance E. The four major television networks. ) It may also regulate truthful advertising for lawful activities and goods if it can prove (1) there is a substantial state interest to justify the regulation, (2) that such regulation directly advances this interest, and (3)that there is a reasonable fit between the interest asserted and the governmental regulation. Corrective Advertising D. Electronic Retailing Self-Regulation Program (ERSP). The advertiser must have evidence to substantiate its claims if challenged. The _____ was formed by three advertising associations and the Council of Better Business Bureaus to sustain high standards of truth, accuracy, morality and social responsibility in national advertising. B. affirmative disclosure Several developments propelled the growth of Lanham Act false advertising activity: A. WebStudy with Quizlet and memorize flashcards containing terms like Consumer protection laws regulate all of the following except: a. unfair trade practices. A. require that consumers make a purchase of one of their products as a condition for entering the sweepstakes. Self Regulation by the Advertising Industry, Local Regulation and Better Business Bureau. C. contradictory option C. National Advertising Review Board D. Wheeler-Lea Amendment SURVEY . Newspapers, magazines, broadcasting stations, online service providers and other mass media all have rules that more or less regulate the kind of advertising they will carry. It defines an endorsement as any advertising message (including things such as verbal statements, demonstrations and depictions of the name of an individual or the name or seal of an organization) that consumers likely are to believe reflects the opinions, beliefs, findings or experiences of a party other than the sponsoring advertiser. an accident and health insurer just received written proof of loss from one of its insureds. C. The Wheeler-Lea Amendment D. the burden of proof for advertising claims lies with the consumer. the role of the federal government was expanded when Medicaid was established by allowing the state to A. WebEach order and agreement is tailored to the individual industrys needs. In the past, after the commission issued a cease and desist order, businesses frequently attempted to undertake practices that fell just outside the narrow boundaries of the order. When an advertisement conveys more than one meaning to a reasonable consumer, one of which is false, the seller is liable for the misleading interpretation. Media can refuse to accept or restrict the timing of ads that violate standards of truth or good taste. B. C. Campbell Soup. -FTC regulates spam B. can be decoded to have several different meanings. E. NARC is a government agency regulating advertising agency. Critics of the FTC's ad substantiation program argue that: Five commissioners, each of whom is nominated by the president of the U.S. to serve a 7-year term, head the FTC. Although ad agencies and publishers/broadcasters are generally not held liable in cases of false or harmful advertising, there are signs that the law is changing. A. rebates and refunds All commercial e-mail "that includes sexually oriented material" must also include a warning label on the subject line. Endorsement of a product by an unqualified spokesperson or by a spokesperson who doesn't use the product. -former depended of employee no longer of dependent status The _____ is sponsored by the Electronic Retailing Association (ERA), although it works independently of the ERA to create an unbiased self-regulatory system. The publicity can do more harm to the advertiser than a monetary fine. Substantiation: National Advertising Division -existing producers B. Under the Wheeler-Lea Amendment, the Federal Trade Commission is empowered to stop an advertiser from making a specified claim within 30 days and refrain from doing so until a hearing is held. Rarely have these challenges been successful. C. NAD/NARB. The FTC 's rules state, among other things, the following: ______________________________________: All commercial e-mail messages must contain either a functioning return address or an Internet-based reply "opt-out" mechanism for at least 30 days after transmission of a message. Although that slogan at first may seem to benegit the entire beef and cattle industry, a number of cattle producers objected to it because, as the Supreme Court put it, "the advertising promotes beef as a generic commondity, which, they ccontended, impedes their efforts to promote the superiority of, inter alia, American Beef, grain-fed beef, or certified Angus or Herefore beef." an agent is required to keep replacement forms on file for at LEAST __ years.. a producer who sells an individual life insurance policy in new jersey MUST deliver to the policy owner a(n), contain content approved by the commissioner, the names of the insurance companies represented by the producer -Advertising, as a part of the marketing mix for all products, took on more importance in the past 50 years. Under the Children's Television Act,: -company's true corporate name B. B. * C. Lack of selective disclosure C. NARC takes longer to solve a case when compared to Federal Trade Commission (FTC). C. consumers recognize puffery and don't believe it. -Also court said this case was "in the public interest". If an advertiser refuses to sign a consent order, the inquiry is handed to the U.S. Department of Justice. Although the burden is on the government to disprove the advertiser's claim, it is always helpful for an advertiser to offer proof to substantiate advertising copy. d. generativity. The most recent commission policy statement on substantiation was issued in 1984. A. d. requiring an individual, group, or organization to choose among several actions that must be evaluated as right or wrong, ethical or unethical. E. the burden of proof for advertising claims lies with the Federal Trade Commission. False. E. avoid comparative advertising. Federal Communications Commission E. National Association of Attorneys General, Pizza Hut launched a civil suit against Papa John's pizza claiming false and misleading advertising made Pizza Hut's pizza look inferior to Papa John's. Voluntary agreements by advertisers to terminate a deceptive advertisement E. Advertisers who do not comply with the NAD/NARB review process will find themselves encumbered with a class action lawsuit. B. if the ad does not provide sufficient information to the consumers so as to make an informed decision. -Litigated orders Advertising Practices found to be unfair or deceptive 3. The FTC believes that the claim is deceptive. demonstrate full and truthful disclosures to the public. National Advertising Review Board Food and Drug Administration E. selective disclosure, As per FTC, _____ occurs when qualifying information necessary to prevent a practice, claim, representation, or reasonable belief from being misleading is not disclosed. Significant omission of important information. -establish insurer rates C. Robinson Patman Act A material misrepresentation or practice is one that is likely to affect a consumer's choice of a product. Freedom of using any media vehicle voting power on major issues and ownership in a portion of the company. In this case the commission can issue an order, usually called a *litigated order,* to stop the particular advertising claim. B. Michelin advertises a 50,000-mile guarantee for its tires. 5. The representation, omission or practice must be material. The new law expanded the jurisdiction to practice "affecting commerce." Claims about durability, performance, warranties or quality have also been consider material. C. FCC Act Sometimes filing a lawsuit is the only effective way for the FTC to pressure some companies. Although CAN-SPAM does not provide a civil remedy for those of us who receive spam, a provider of Internet access service that is adversely affected by spamming activities on its service may bring a civil lawsuit against the spammer in any federal court in the U.S. seeking both a permanent injunction to stop the spamming and monetary damages for harm caused by the spam. B. speech that promotes a commercial transaction. -total disability In brief, Roomates.com was more akin to a publisher or speaker rather than a mere conduit for the information that it posts. D. Superlatives such as greatest, best, and finest are puffs that are often used in advertising. -arbitrate claims is using ____, which is a(n) ______ form of advertising. The commissioners then vote on whether to issue a complaint. Postal Service regulations. E. Sherman Antitrust Act. A. The registry, however, would also prove controversial. the basic defense against any false advertising complaint, traditionally, advertising agencies and publishers were not held liable in cases of false or harmful advertising which the advertiser agrees to refrain from making specific product claims in future advertising, chapter 9: Records and meetings (gathering in, Practice Exam: Life and Health Q's to practice, Supreme Court Cases AP Government and Politics, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Marketing Essentials: The Deca Connection, Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese, Daniel F Viele, David H Marshall, Wayne W McManus. B. a commercial that was rejected at the storyboard stage is accepted at the final stage. Advertisers can still litigate the question, challenge the trade regulation rue, seek an appeal in court and so forth. Another word for advertisement is _____________________. All TV viewers have seen famous athletes and celebrities, as well as experts and ordinary consumers, on commercials making claims abut products they supposedly use or in which they otherwise believe. Department of Foreign Affairs E. Promotional Products Marketing Association. advertising regulations exist in order to quizlet. Unfairness B. Robinson Patman Act Policies and procedures for self-regulation of advertising industry are established by the ____. -Trade Regulation Rules. A. consumers cannot distinguish between factual information and puffery. * -an advertiser has already put out a campaign and the FTC finds out later; most common Professional Development. Advertising Practices found to be unfair or deceptive 2. Beginning in the 1990s the Food and Drug Administration (FDA) began an aggressive campaign against a variety of companies to force them to change their labeling and promotional practices. D. Bureau of Alcohol, Tobacco, and Firearms * -may raise premiums at anytime All the commission must prove is that the advertiser had actual knowledge of the trade regulation rule, or "knowledge fairly implied from the objective circumstances.") A. the fairness doctrine. -is not available to the public (b) Why is a binary predictor sometimes called a "shift variable"? According to the FTC's definition of deception, a representation, omission, or practice has materiality if it: -$500,000 It is difficult for courts to reverse an FTC ruling. The judge also has the authority to dismiss the case. B. A. advertising aimed at children is prohibited. For instance, in 2012 NAD determined that Gillette's use of the term "MoistureRich" in the name of its "Gillette Venus ProSkin MoistureRich" women's razor conveyed the misleading message that the razor moisturizes the skin while one shaves.
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