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Advertising
1. Advertising is one of the largest industries. It is an important means of promoting the goods that are being produced as well as new lines in business. There are specialized firms dealing with advertising, different kinds of mass media (TV, radio, newspapers, cinema, journals, magazines, posters) are used for advertising goods. Special leaflets, booklets and other printed matter about goods may be published for the same purpose. Participation in fairs and exhibitions helps to promote the goods as well.
2. Advertising benefits consumers and the economy in a number of ways: it provides us with information about prices, appearance of certain new goods and services, and their availability; advertising often results in lower prices because by creating mass markets, advertising enables producers to reduce the costs of their products and pass those savings on to the consumers; advertising stimulates competition, and competition benefits all of us; advertising pays most of the cost of magazines and newspapers, and all of the cost of commercial radio and TV.
Advertising helps the economy as a whole by stimulating consumer demand. Consumer spending has a direct effect on the health of the economy. Advertising helps to keep that spending at healthy levels.
3. Not everyone agrees that advertising benefits the economy. Critics list the following points of its disadvantages: the information contained in advertising does not inform and often misleads the consumer; because it costs money to advertise, this cost is added to the price consumers pay; consumers are tempted to spend money for products they do not really need; radio and TV are not really free because the cost of advertising on them is also passed on to the consumer.
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