According to Economist George Stigler,the Process of Regulating Firms with Market

question 33

Multiple Choice

According to economist George Stigler,the process of regulating firms with market power becomes suspect over time because

• A)regulators shift from protecting the consumer to protecting the regulated firm from competition.
• B)regulators impose additional costs on regulated firms because they are expected to accomplish other social goals.
• C)regulated firms are allowed to expand into other markets and drive out competing firms.
• D)regulated firms devise methods to circumvent the regulations.
• E)regulation leads to corruption of political parties.

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Definitions:

Employment Laws

Regulations and legal standards governing the relationship between employers and employees, covering aspects like hiring, working conditions, and workplace discrimination.

Worker Rights

The entitlements and protections provided to workers, such as fair wages, safe working conditions, and the right to organize and bargain collectively.

Income Security

Measures or programs designed to ensure individuals have stable income sources, especially in cases of unemployment, disability, or retirement.

Individual Freedoms

The rights and liberties that can be claimed by individuals by virtue of being human; these are often protected by law and include freedom of speech, religion, and the press.