BUSA 2106 TEST QUESTIONS AND ANSWERS A+
GRADED. Buy Quality Materials!
In the U.S., the major actions that society delegates to government is to
______________.
encourage larger companies to conduct business in many other countries
create more jobs
provide laws that are logically deduced from the U.S. Constitution and the Bill of
Rights and to enforce these laws through the judicial system.
keep prices of products low so that all consumers can purchase convenience and
luxury good
provide laws that are logically deduced from the U.S. Constitution and the Bill of Rights
and to enforce these laws through the judicial system.
Because no government system is perfect ______________.
the "invisible hand of competition" has replaced many business and economic
regulations
legal and regulatory systems are constantly evolving and changing in response
to social institutions, including business
companies do not have to worry about meeting every law and regulation, since
they are likely to change
self-regulatory mechanisms have created less of a need for government oversight
legal and regulatory systems are constantly evolving and changing in response to social
institutions, including business
What is the definition of regulation?
Changing or deleting existing laws or regulations to provide less oversight of
business activities, operation, and outcomes
The act of creating and enforcing rules for a specific purpose
New technology that displaces an established technology and changes an
industry or a unique new product that creates a completely new industry
The law used to prevent businesses from restraining trade and monopolizing
markets
The act of creating and enforcing rules for a specific purpose
______________ results when just one business provides a good or service in a
particular market.
Trust
Monopoly
Lower prices due to that company's efficiency
Oligopoly
Monopoly
, Which of the following is least likely to be considered destructive or unfair
competition?
Collaborating with a competitor to establish prices so that each firm can ensure a
certain level of profit
Lowering prices significantly in an effort to drive competitors out of a market, and
then raising prices afterwards
Obtaining information through careful monitoring of the competitive environment
Using a "bait and switch" method for selling products to customers
Collaborating with a competitor to establish prices so that each firm can ensure a
certain level of profit
Utility companies that supply electricity, natural gas, water, or cable television are
examples today of _______________.
patent laws
trusts
monopolies
self-regulatory agencies
monopolies
_______________ are expenditures by organizations to meet regulatory
requirements, such as reporting activities.
Administration and enforcement costs
Costs of legal consultants
Compliance costs
Sustainability costs
Compliance costs
_______________ are expenditures by government to develop and administer
regulatory requirements, including the salaries of government workers, hiring
inspectors, purchasing office supplies, and other overhead expenses.
Costs of legal consultants
Sustainability costs
Administration and enforcement costs
Compliance costs
Administration and enforcement costs
To generate a measurement of the costs of regulation, economists generally
classify regulations as _______________.
economic or social
standardized or industry-specific
ethical or legal
safety-related or environment-related
economic or social
How could regulation on businesses result in a "hidden tax" to customers?
GRADED. Buy Quality Materials!
In the U.S., the major actions that society delegates to government is to
______________.
encourage larger companies to conduct business in many other countries
create more jobs
provide laws that are logically deduced from the U.S. Constitution and the Bill of
Rights and to enforce these laws through the judicial system.
keep prices of products low so that all consumers can purchase convenience and
luxury good
provide laws that are logically deduced from the U.S. Constitution and the Bill of Rights
and to enforce these laws through the judicial system.
Because no government system is perfect ______________.
the "invisible hand of competition" has replaced many business and economic
regulations
legal and regulatory systems are constantly evolving and changing in response
to social institutions, including business
companies do not have to worry about meeting every law and regulation, since
they are likely to change
self-regulatory mechanisms have created less of a need for government oversight
legal and regulatory systems are constantly evolving and changing in response to social
institutions, including business
What is the definition of regulation?
Changing or deleting existing laws or regulations to provide less oversight of
business activities, operation, and outcomes
The act of creating and enforcing rules for a specific purpose
New technology that displaces an established technology and changes an
industry or a unique new product that creates a completely new industry
The law used to prevent businesses from restraining trade and monopolizing
markets
The act of creating and enforcing rules for a specific purpose
______________ results when just one business provides a good or service in a
particular market.
Trust
Monopoly
Lower prices due to that company's efficiency
Oligopoly
Monopoly
, Which of the following is least likely to be considered destructive or unfair
competition?
Collaborating with a competitor to establish prices so that each firm can ensure a
certain level of profit
Lowering prices significantly in an effort to drive competitors out of a market, and
then raising prices afterwards
Obtaining information through careful monitoring of the competitive environment
Using a "bait and switch" method for selling products to customers
Collaborating with a competitor to establish prices so that each firm can ensure a
certain level of profit
Utility companies that supply electricity, natural gas, water, or cable television are
examples today of _______________.
patent laws
trusts
monopolies
self-regulatory agencies
monopolies
_______________ are expenditures by organizations to meet regulatory
requirements, such as reporting activities.
Administration and enforcement costs
Costs of legal consultants
Compliance costs
Sustainability costs
Compliance costs
_______________ are expenditures by government to develop and administer
regulatory requirements, including the salaries of government workers, hiring
inspectors, purchasing office supplies, and other overhead expenses.
Costs of legal consultants
Sustainability costs
Administration and enforcement costs
Compliance costs
Administration and enforcement costs
To generate a measurement of the costs of regulation, economists generally
classify regulations as _______________.
economic or social
standardized or industry-specific
ethical or legal
safety-related or environment-related
economic or social
How could regulation on businesses result in a "hidden tax" to customers?
