A State Law Regulating the Activities of a Foreign Corporation

question 21

Multiple Choice

A state law regulating the activities of a foreign corporation does not unduly burden interstate commerce if:

• A)the law serves both the state's and the foreign corporation's legitimate interest.
• B)the foreign corporation has chosen the least burdensome means of promoting that interest.
• C)the legitimate state interest outweighs the statute's burden on interstate commerce.
• D)a foreign corporation enters interstate commerce to do intrastate business in a state.

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Definitions:

Excess Demand

A situation where the quantity demanded of a good or service exceeds its quantity supplied at a particular price.

Rent Ceiling

A regulatory limit on the amount of rent a landlord can charge tenants, often imposed by government to keep housing affordable.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded.

Supply Curve

A graph showing the relationship between the price of a good and the amount of the good that suppliers are willing to sell.