One Primary Reason Why Regulatory Capture May Occur in an Industry

question 113

Multiple Choice

One primary reason why regulatory capture may occur in an industry is that

• A)the government designates unelected officials to head the various regulatory agencies of different industries.
• B)there is a lot of bribery and corruption going on in all major industries that the government seeks to regulate.
• C)the industry's leaders are the ones who pushed for the government to impose supervision and regulation over their industry.
• D)people who are qualified to supervise and regulate the industry often come from the industry itself.

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Definitions:

Abandoned Contract

A contract that is no longer active because all parties have ceased to perform their obligations.

Quantum Meruit

A Latin term meaning "as much as he has earned," used in legal context to denote compensation deserved for services or work done when no contract exists.

Substantial Performance

A legal concept that a contract has been completed enough to fulfill its purpose, even if all details have not been precisely met.

Anticipatory Breach

A situation in contract law where one party indicates in advance that they will not fulfill their contractual obligations.