One undesirable effect of social regulation is that it
A) affects smaller firms disproportionately, creating anticompetitive effects.
B) destroys incentives for firms to engage in marginal cost pricing.
C) raises prices of goods to consumers, while lowering prices to business and special interest groups.
D) reduces the effectiveness of economic regulation.
Answer: A
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a. True b. False Indicate whether the statement is true or false
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