Which of the following is NOT an advantage of owning a car?

• A. Ability to avoid public transportation schedules
• B. Convenience for carrying goods and passengers
• C. Increased flexibility in travel
• D. Higher maintenance and insurance costs

Answer: (D)

Verified step by step guidance

1. Step 1: Understand the concept of advantages and disadvantages in microeconomics, particularly related to consumer choice and utility. Advantages increase utility or satisfaction, while disadvantages reduce it or add costs.
2. Step 2: Identify the options given and classify them as either advantages or disadvantages of owning a car. For example, 'Ability to avoid public transportation schedules' is an advantage because it increases convenience and flexibility.
3. Step 3: Recognize that 'Higher maintenance and insurance costs' represent additional expenses, which are disadvantages rather than advantages, as they reduce the net benefit of owning a car.
4. Step 4: Confirm that the question asks for the option that is NOT an advantage, so the correct choice should be the one that imposes a cost or burden rather than a benefit.
5. Step 5: Conclude that 'Higher maintenance and insurance costs' is the correct answer because it is a disadvantage, unlike the other options which are clear advantages of car ownership.