Sentence 1 is untrue. See https://news.ycombinator.com/item?id=20034730 https://news.ycombinator.com/item?id=20034730 for an example. Sentence 3 is also untrue

Sentence 1 is untrue. See https://news.ycombinator.com/item?id=20034730 https://news.ycombinator.com/item?id=20034730 for an example. Sentence 3 is also untrue. No advertising means people hear about much fewer brands, which means reduced competition, which means higher prices. This more or less balances out the cost of ads for the consumer.