IndexImpactDecisions and InfluenceAsymmetric InformationPolitical EconomyConclusionsConsumer choice is a major driving force in the factors influencing various outcomes regarding microeconomics. This is well known and numerous companies attempt to exploit this knowledge for profit, but it remains difficult to fully take into account the tastes that can constitute the complexity of consumer choice. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Impact From numerous studies and surveys it is clear that consumer choice strongly determines purchases and economic transactions. As demand for an item increases, often regardless of cost (up to a point), certain fads or trendy advertisements can persuasively influence the masses to purchase something that might otherwise be considered illogical. On the other hand, low enough prices will influence consumers to purchase something that may not be the best or healthiest option. The lower the price of an item becomes, the higher the demand increases. But consumer choice is never that clear and simple, which is why many brands are preferred over others, even if they are quite similar. Grocery chains offer house brands that some consumers will never try, despite a lower price, due to aesthetics or the belief that the lower price makes the product inferior. In reality, although consumer choice drives the market, it is rarely orderly or logical, going in multiple directions at once, and changing quite often. Decisions and Influence Furthermore, wages can be pushed up by consumer choice. Professions are very similar to brands, as well as companies within those professions; not all are considered equal by consumers, and a shift towards one of them will raise relative wages and lower those of neglected firms. Another aspect of this is interest rates: as more people choose a recreational activity that poses a greater risk than others, the overall rate for consumers of those affected businesses will rise accordingly. This is not necessarily related to the direct danger level of said activity, but simply that the more people doing a given activity, regardless of its safety margin, the more people will get hurt. An interesting aspect of consumer choice concerns overall health, particularly regarding consumer goods. “It stands to reason that these consumers' food choices would be influenced by a misbelief in the nutritional content of a particular chosen item, as it would influence how they prioritize their food consumption preferences.” Asymmetric Information Critical to Understanding the Precarity of the Great Majority of Consumers The economic systems currently in place are fully realizing the relevance of information asymmetry, particularly with borrowing and borrowing constituting much of the economic infrastructure. It is not possible to keep track of all accounting and control activities that occur at any point in the transaction, especially in light of the fact that a large number of assets are divisible and non-storable. “….institutions such as commodity money, credit and record keeping cannot be used to facilitate exchange, which leaves fiat money as the only medium of exchange.” This implies that much of the lending system in its existing form is somehow flawed for long-term purposes, at least theoretically and theoretically,.