Margaret has been invited to a fancy dinner party and wants to bring a good bottle of wine as a gift for the host. Since she does not know much about wine, she will likely use the price of the wines as
A. an indicator of quality.
B. a reflection of status quo pricing.
C. an indicator of the variety.
D. a measure of scarcity.
E. a measure of the income effect.
Answer: A. an indicator of quality