Which Statement Is Accurate in Its Description of Consumer Protection

question 1

Multiple Choice

Which statement is accurate in its description of consumer protection? ​

• A) The Consumer Product Safety Commission has the power to order recalls, public warnings, and refunds.
• B) Statistics show that, in fact, safety regulations rarely succeed in increasing safety.
• C) Critics exaggerate the cost of safety regulations and product recalls.
• D) Safety regulations permit people to choose to save money by purchasing riskier (but less expensive) products.

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Definitions:

Full Disclosure

A principle that requires a company to provide all necessary information in its financial statements that affects the understanding of those statements.

Insider Information

Insider information involves confidential information about a company that has not been made public and that could provide a financial advantage in the markets if known.

Financial Markets

Marketplaces where buyers and sellers engage in trade of financial assets like stocks, bonds, currencies, and derivatives.

Financial Analysis

Financial analysis involves evaluating businesses, projects, budgets, and other finance-related transactions to determine their performance and suitability.