The term _______ refers to a situation where the firms supposedly being regulated end up playing a large role in setting the regulations that they will follow.
A) regulatory tie-in
B) deregulation
C) privatization
D) regulatory capture

Question

Quizplus · Accepted Answer

Regulatory capture occurs when a regulatory agency, created to act in the public interest, instead advances the commercial or political concerns of the industry it is supposed to be regulating. This can happen when the industry gains influence over the agency's decision-makers, leading to regulations that benefit the industry at the expense of the public.

The Term _______ Refers to a Situation Where the Firms