Economists Who Think the Capture Theory Explains Regulatory Behavior Will

question 170

Multiple Choice

Economists who think the capture theory explains regulatory behavior will support their claims by noting that

• A) regulation as carried out in this country generates larger profits for the firms and does not generate lower prices for consumers.
• B) consumers actually dominate regulatory hearings through the influence of consumer advocacy groups.
• C) Congress ensured that consumers have more influence on the decisions of regulators by setting up the agencies in ways that insulated the regulators from the regulated firms.
• D) the firms that are regulated have greater incentive to try to influence regulators than do consumers.

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Definitions:

Visual Search

The task of locating a specific visual target among a field of distractors.

Number of Distracters

The quantity of irrelevant stimuli or options that divert attention away from the target information or choice.

Simultaneous Tasks

The performance of multiple tasks at the same time, requiring cognitive flexibility and often leading to divided attention.

Dictation

The act of speaking aloud for someone else to write down or for a machine to record the words.