The Theory of Regulatory Behavior That Predicts That the "Regulators

question 173

Multiple Choice

The theory of regulatory behavior that predicts that the "regulators" eventually will become controlled by the "regulated" is called

• A) the capture hypothesis.
• B) the the share-the-gains, share-the-pains hypothesis.
• C) the asymmetric information hypothesis.
• D) the market failure hypothesis.

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Definitions:

Conflict Theorists

Sociologists who focus on the power differentials, inequality, and social conflicts in society, viewing them as the catalyst for social change.

Proletariat

The class of wage-earners in a capitalist society whose only significant material value is their labor power; a member of such a class is typically lacking in capital and property ownership.

Bourgeoisie

The social class that owns the means of production in a capitalist society, typically associated with wealth and material possessions.

Primary Market

The market where new securities are issued and sold for the first time, allowing corporations, governments, and other entities to raise capital directly from investors.