Which of the Following Will Not Occur When Government Policies

question 101

Multiple Choice

Which of the following will not occur when government policies are enacted to make the distribution of income more equitable?

• A)People will alter their behaviors.
• B)Incentives will be distorted.
• C)Total utility will likely remain constant.
• D)The allocation of resources will be less efficient.

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Definitions:

Federal Securities Laws

Regulations established by the federal government to govern the sale, purchase, and creation of securities to protect investors from fraud.

State Securities Laws

Regulations established by individual states in the United States to govern the offer and sale of securities to protect investors from fraud.

Exemptions

Specific conditions or circumstances that allow an individual or entity to be relieved from a general requirement or rule.

Section 10(b)

A provision under the Securities Exchange Act of 1934, which prohibits securities fraud and insider trading in the stock market.