Which of the following is the correct name for the idea that certain firms prefer government regulation
Question:
Which of the following is the correct name for the idea that certain firms prefer government regulation because regulation shields them from the pressures of competition and, in effect, guarantees them a regulated profit?
a. The public interest theory of regulation.
b. The Structuralists’ theory of monopoly.
c. The legal cartel theory of regulation.
d. The public regulation theory of natural monopoly
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Answer c The legal cartel theory of regulation The idea that some regulated firms ma...View the full answer
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Related Book For
Microeconomics Principles, Problems and Policies
ISBN: 978-1259450242
20th edition
Authors: Campbell R. McConnell, Stanley L. Brue, Sean Masaki Flynn
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