Econ Ed Link: Deceptive Advertising: Crossing the Line

Businesses use advertising to tell consumers about the goods and services they are selling. Businesses hope that their advertisements will convince people to buy their products. In this instructional activity, students examine the ground rules for advertisements of goods and services, why we need rules, who sets them, and who enforces them. They research cases in which, deceptive advertising has been charged and analyze whether the negative incentives for this illegal practice are sufficient to deter future violations.