Which of the Following Is Not a Negative Consequence of Regulating

question 43

Multiple Choice

Which of the following is not a negative consequence of regulating accounting?

• A)A wealth transfer from non-users to users of accounting information.
• B)The imposition of disclosure costs on the users of financial information.
• C)A potential overallocation of social resources to the production of free, publicly available accounting information.
• D)Benefits are received by the users of free accounting information while non-users implicitly incur the production costs.

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Definitions:

American Prison System

The network of institutions within the United States tasked with incarcerating individuals convicted of crimes, often criticized for issues related to mass incarceration and racial disparities.

Bruce Western

A sociologist known for his research on the American criminal justice system, poverty, and inequality.

Secondary Deviance

Deviant behavior that occurs when an individual accepts the label of deviant and acts accordingly, often as a result of societal reactions.

Differential Association Theory

A sociological theory that suggests individuals learn deviant behavior from those close to them who provide models of and opportunities for deviance.