Which of the Following Is Most Consistent with the Incentive

question 44

Multiple Choice

Which of the following is most consistent with the incentive system approach to regulatory policy?

• A)requiring a restaurant to serve sugary soft drinks in smaller cups
• B)lowering the drinking age and requiring states to implement the new standards
• C)reducing federal subsidies to public schools whose students have excessive absences
• D)lowering taxes for bourbon distilleries in order to boost the Kentucky economy

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Definitions:

Standard Specification

A detailed document that describes the essential technical requirements for purchased materials, products, or services.

Supplier Technology

The technical capabilities and innovations offered by a supplier that can impact the quality, delivery, and cost of their products or services.

Total Costs of Ownership (TCO)

An evaluation of the total expenses associated with purchasing, operating, and maintaining a product over its entire lifecycle.

Standard Cost Models

Accounting models that use predetermined costs for calculating inventory valuations, cost of goods sold, and assessing operational efficiency.