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This paper is the first to estimate the impact of exposure to deceptive advertising on consumption of the advertised product and its substitutes. They study the market for over the-counter (OTC) weight-loss products, in which deceptive advertising is rampant. Strengths of the paper include matching of specific advertisements to individual respondents based on their reported magazine reading and TV watching behavior, quantification of the deceptiveness of ads based on explicit FTC guidelines for this product category, and various methods to control for targeting of ads.
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