Personal Finance. Chapter 12

Transcription

1 Personal Finance Chapter 12

2 Consumer Awareness Consumer Movement Began in the late 1800s Meatpacking plants The Jungle

3 Have you read The Jungle, by Upton Sinclair? What did you think? What impact did that book have on government and the rights of the people? Are there any books today that have had that type of impact on society and government? If no, why not?

4 Consumer Awareness Three Roles Producer Advertise

5 Consumer Awareness Three Roles Producer Advertise Provide toll-free numbers

6 Consumer Awareness Three Roles Producer Advertise Provide toll-free numbers Provide warranties

7 Consumer Awareness Three Roles Producer Advertise Provide toll-free numbers Provide warranties Use Energy Star label

8 Consumer Awareness Three Roles Producer Advertise Provide toll-free numbers Provide warranties Use Energy Star label Get Seal of Approval (Good Housekeeping)

9 Consumer Awareness Three Roles Producer Consumer Make informed choices Find product information Do product comparisons Ask for recommendations

10 Consumer Awareness Three Roles Producer Consumer Make informed choices Communicate opinions Write letters Tell retailers Return surveys

11 Consumer Awareness Three Roles Producer Consumer Make informed choices Communicate opinions Work together Boycott Use lobbyists Form consumer interest groups

12 Consumer Awareness Three Roles Producer Consumer Citizen Vote Communicate with elected officials Learn about government agencies

13 Consumer Awareness Government Agencies Federal Trade Commission (FTC)

14 Consumer Awareness Government Agencies Federal Trade Commission (FTC) United States Postal Service

15 Consumer Awareness Government Agencies Federal Trade Commission (FTC) United States Postal Service Federal Communications Commission (FCC)

16 Consumer Awareness Government Agencies Federal Trade Commission (FTC) United States Postal Service Federal Communications Commission (FCC) Food and Drug Administration (FDA)

17 Consumer Awareness Government Agencies Federal Trade Commission (FTC) United States Postal Service Federal Communications Commission (FCC) Food and Drug Administration (FDA) Surface Transportation Board

18 Consumer Awareness Government Agencies Federal Trade Commission (FTC) United States Postal Service Federal Communications Commission (FCC) Food and Drug Administration (FDA) Surface Transportation Board Consumer Product Safety Commission (CPSC)

19 Consumer Awareness Government Regulation Debate for Protects against price gouging Promotes product standards Supports consumer safety

20 Consumer Awareness Government Regulation Debate against Impedes caveat emptor Limits competition Hurts economy (companies lose money) Deregulation cuts red tape

21 Which of the following government agencies regulates the safety of our food? A. FTC B. FDA C. CPSC D. FCC E. FEC

22 Which of the following government agencies regulates the safety of our food? A. FTC B. FDA C. CPSC D. FCC E. FEC

23 Do state governments as well as the federal government regulate commerce? What is the difference? How do consumers know what rights they have? Should the government increase or decrease regulation? Why?

24 Consumer Rights Legislation Consumers Bill of Rights 1962 Right to safety Right to be informed Right to choose Right to be heard

25 Consumer Rights Right to Safety Safe cars Car seats

26 Consumer Rights Right to Safety Safe cars Car seats Safe water

27 Consumer Rights Right to Safety Safe cars Car seats Safe water Safe food

28 Consumer Rights Right to Safety Safe cars Car seats Safe water Safe food Protection against lead and toxins

29 Consumer Rights Right to Be Informed Home shopping Internet Catalogs TV 30-day rule

30 Consumer Rights Right to Be Informed Telemarketing Do Not Call (

31 Consumer Rights Right to Be Informed Contract Mutual assent Consideration Competent parties

32 Consumer Rights Right to Be Informed Consumer fraud Pyramid schemes Internet

33 Consumer Rights Right to Choose Competition (markets) Competitive

34 Consumer Rights Right to Choose Competition (markets) Competitive Oligopolistic

35 Consumer Rights Right to Choose Competition (markets) Competitive Oligopolistic Monopolistic

36 Consumer Rights Right to Be Heard Government import policy Tariffs Quotas NAFTA

37 Consumer Rights Right to Be Heard Better Business Bureau Dear Better Business Bureau: Recently I purchased a new washing machine from

38 Consumer Rights Right to Be Heard Better Business Bureau Lodging a complaint (advance to see sample)

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40 Consumer Rights Right to Be Heard Next step after letter of complaint Legal / Court Consumer action panels Arbitration Small-claims court Lawsuit Class-action suit

41 Consumer Rights Fraud on the Internet Phishing identity theft scams Redirecting to another site

42 Consumer Rights Fraud on the Internet Tips Hot spot WiFi (theft is easier) Use secure site for data (shttp or https) Make sure company is reputable, if possible Print copy of all transactions Report phishing to

43 Which of the following is not a right from the Consumers Bill of Rights passed in 1962? A. Right to be informed B. Right to safety C. Right to be heard D. Right to choose E. Right to freedom of religion

44 Which of the following is not a right from the Consumers Bill of Rights passed in 1962? A. Right to be informed B. Right to safety C. Right to be heard D. Right to choose E. Right to freedom of religion

45 Do you use ebay or any other online auction site? How does it work? What tips do you have for shopping on the Internet? Have you ever had a bad experience online? Explain.

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