Some economists believe that advertising help make monopolistic competition markets efficient.
Which of the following arguments support that view?
Advertising taps into people’s emotions, helping people make decisions based on emotions, rather than rational thought.
Advertising costs money but that is not a problem, as these costs are then passed on to consumers, allowing the market outcome to remain productively efficient.
Advertising helps firms create brands, which provide useful information to the consumer about the quality of the product.
Advertising provides a way for firms to inform consumers about aspects of their products consumers might be interested in, but might not have otherwise known about.