The dormant Commerce Clause does not limit a state when it is acting as a market participant, rather than as a regulator.

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The dormant Commerce Clause principle restricts state regulations that unduly interfere with interstate commerce. However, when a state is acting as a market participant (buying or selling goods, hiring labor, etc.) rather than as a regulator, these restrictions do not apply, allowing the state more freedom in its actions.

The Dormant Commerce Clause Does Not Limit a State When