ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Restrictive trade practices (RTPs) A restrictive trade practice is generally one which has the effect of preventing, distorting or restricting competition. In particular, a practice which tends to obstruct the flow of capital or resources into the stream of production is an RTP.

Detailed explanation-2: -Unfair trade practices includes mislabelling and false representation of any renovated, reconditioned or old goods as new goods, fraudulant advertisement of goods and services and falsely representing that the goods/services are of a particular standard, quality or grade.

Detailed explanation-3: -Intensively pressuring or influencing a consumer to buy. Example: A salesperson spends 4 hours in a consumer’s home trying to sell a vacuum cleaner. Taking advantage of a consumer who does not understand a transaction.