Which Agency Rule-Making Process Is the Most Highly Regulated and Closely

question 85

Multiple Choice

Which agency rule-making process is the most highly regulated and closely scrutinized by the courts?

• A)Procedural
• B)Interpretive
• C)Legislative
• D)Associative

---

Definitions:

Industry Concentration

A measurement of the extent to which a small number of firms dominate the total output, sales, or employment of an industry.

R&D Expenditures

Research and Development Expenditures pertain to the funds allocated by businesses or governments towards the research and development of new products, services, or technologies.

Inverted-U Theory

The idea that, other things equal, R&D expenditures as a percentage of sales rise with industry concentration, reach a peak at a four-firm concentration ratio of about 50 percent, and then fall as the ratio further increases.

Interest-Rate Cost

The cost associated with borrowing funds, typically expressed as a percentage of the total amount loaned.