The Capture Theory Suggests That Regulators May End Up Working

question 57

True/False

The capture theory suggests that regulators may end up working for the interests of the firms being regulated rather than the consuming publiC.

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Definitions:

Unconstitutional

A term referring to actions or laws that violate the constitution of a country or organization.

National Recovery Administration

A New Deal agency, established in 1933, aimed at stabilizing the U.S. economy through regulation of wages, prices, and working hours.

Fundamentalist Preachers

Religious leaders who promote a strict adherence to what they perceive as the fundamental principles of their faith.

Irony

A literary device or situation in which there is a significant difference between what is expected or understood and what actually happens or is meant.