What is regulatory capture?
A) It is a situation in which a firm being regulated successfully influences the regulatory agency's actions to benefit the interests of the firm, rather than the public interest.
B) It is a situation in which a regulatory agency uses its authority to force actions that are not favored by the regulated firms but are in the public's interest.
C) It is a situation in which a policymaker seeks to improve his election prospects by aligning himself with a powerful special interest group which will finance his political campaign.
D) It is the exchange of political support between a regulatory agency and the regulated firm resulting in both parties capturing economic rents.
A
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As the expected future exchange rate for dollars increases
A) the demand for U.S. dollars increases. B) the supply of U.S. dollars decreases. C) both the demand for U.S. dollars and the supply of U.S. dollars increase D) Both answers A and B are correct.
Everything else held constant, when actual output exceeds the natural rate of output ________ aggregate supply ________
A) short-run; decreases B) short-run; increases C) long-run; increases D) long-run; decreases
If e = 0.15, c = 0.07, and H = 140, the quantity of deposits at full multiplier expansion is
A) 1750.00. B) 13,333.33. C) 998.67. D) 636.36. E) 30.8.
The regulation of natural monopolies is common in all of the industries except the:
A. natural gas industry. B. tap water industry. C. electricity industry. D. oil and gas industry.