A "trade regulation rule" issued by the FTC that applies to a specific business practice sets a standard:
A) that everyone in the industry must follow or be subject to criminal conviction
B) must be agreed upon by a majority of the members of the industry to become law
C) after a violation is proven the FTC can close down the violator's business
D) is voluntary but provides quality guidance for the industry
E) none of the other choices

Question

Quizplus · Accepted Answer

Trade regulation rules issued by the FTC are not merely voluntary guidelines, nor do they require industry agreement to become law, nor do they directly lead to criminal convictions or authorize the FTC to close down businesses simply upon proving a violation. These rules are legally binding regulations that businesses must comply with, but the consequences of not following them are not as extreme as options A, B, and C suggest.

A "Trade Regulation Rule" Issued by the FTC That Applies