When developing laws and regulations, elected government leaders are often biased in favor of the interests of established companies over those of new entrants because:
A)new entrants have clear reasons for being biased in their proposals, and established companies do not.
B)change has uncertain effects and is therefore avoided.
C)established companies and their employees are voters who have clear interests in preserving the success of established companies.
D)profits are important to tax revenues.

Question

Quizplus · Accepted Answer

Established companies and their employees are voters who have clear interests in preserving the success of established companies. Elected government leaders need the support of voters to stay in power, so they may be biased towards established companies to keep their votes. New entrants, on the other hand, do not have an established voter base or the same level of influence.

When Developing Laws and Regulations, Elected Government Leaders Are Often