Over the past two decades, typical systems of regulation in developing countries have retarded development for each of the following reasons except
A) embarking on "prestige" industrialization programs that keep resources from shifting to activities in which the country had a long-run competitive advantage.
B) inducing firms and entrepreneurs to devote their energies to seeking rents by lobbying governments instead of seeking profits by lowering costs.
C) encouraging firms and entrepreneurs to devote their energies to the development of new products and production techniques.
D) creating systems of regulation and project approval that have degenerated into extortion machines for manufacturing bribes for the bureaucrats.
Correct Answer:
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