Question: The American Testing Institute (also known as the U.S. Testing Authority) mails respondents what it calls a television survey. A questionnaire is sent to respondents,

The American Testing Institute (also known as the U.S. Testing Authority) mails respondents what it calls a “television” survey. A questionnaire is sent to respondents, who are asked to complete it and mail it back along with a check for $14.80. In return for answering eight questions on viewing habits, the institute promises to send respondents one of twenty prizes ranging in value from $200 to $2,000—among which are video recorders, diamond watches, color televisions, and two nights of hotel accommodations at a land development resort community. The institute lists the odds of winning as 1 in 150,000 on all prizes except the hotel stay, for which the odds are 149,981 out of 150,000. During a three-month period, the institute sends out 200,000 questionnaires. What are the ethical issues in this situation?

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