Regulatory capture often occurs because of which of the following?
A) Patent law allows firms to gain monopoly power easily and therefore control a market.
B) Government officials want stronger control over industry regulation.
C) Consumer groups are effective at lobbying the government for industry regulation.
D) Nearly everyone with expertise works in the regulated industry.
D) Nearly everyone with expertise works in the regulated industry.
You might also like to view...
During which of the following decades has the output ratio been staying closest to zero?
A) 1960s B) 1970s C) 1980s D) 1990s
Which of the following is a disadvantage of using debit cards? a. Debit cards are unsafe for use
b. Debit cards do not provide a grace period between a purchase and required payment. c. Debit cards delay payments. d. Debit cards are not not easy to use. e. Debit cards make purchases more expensive than they actually are.
The burden of a tax is
a. the amount of revenue that the government raises from the tax. b. what it would cost in alternative tax revenue to provide the same level of service. c. greater as the total revenue from the tax decreases. d. the amount the taxpayer would have to be given to be just as well off in the presence of the tax as in its absence.
Which of the following summarizes the "incentive problem" with gift-giving that Professor Tabarrok discusses in the video?
A. Gift-giving reduces the incentives for people to rely on market transactions. B. When people choose gifts, they have little incentive to choose carefully. C. When people buy gifts, they have an incentive to overspend to send a signal that they are generous. D. People have little incentive to purchase a gift unless they expect a gift in return.