In a Series of Cases Concerning the Scope of Congress's

question 33

Multiple Choice

In a series of cases concerning the scope of Congress's authority under the commerce clause in the late 1800s and early 1900s,the U.S.Supreme Court

• A)made a series of inconsistent decisions.
• B)consistently upheld congressional authority under the commerce clause.
• C)refused to allow Congress to regulate monopolies.
• D)allowed states to tax federal vehicles.
• E)denied the federal government control over new technologies, such as the telegraph.

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Definitions:

Unobservable Characteristics

Traits or attributes of an entity that cannot be directly measured or seen but influence outcomes.

Adverse Selection

Adverse selection is a situation in which an asymmetry of information between buyers and sellers results in the failure to facilitate optimal market outcomes, often seen in insurance markets where those most likely to claim insurance are also the most likely to purchase it.

Moral Hazard

The tendency of a person or entity to take risks because the negative consequences of the risk will be borne by another party.

Unobservable Actions

Actions taken by individuals or entities that cannot be seen or monitored by others, often discussed in the context of economics or game theory.