The social interest theory of regulation assumes that
A) regulation is against the public interest.
B) the public is indifferent to regulation.
C) regulation seeks an efficient use of resources.
D) the public cares deeply about regulation.
E) regulators are captured by the firms being regulated.

Question

Quizplus · Accepted Answer

The social interest theory of regulation assumes that regulation seeks an efficient use of resources. This means that regulation is not against the public interest and is not captured by the firms being regulated. This theory acknowledges that regulation is necessary to maintain a balance of power between businesses and society, and that regulation can lead to positive outcomes for both parties. It assumes that the public cares about regulation because it can have a significant impact on the well-being of individuals and society as a whole.

The Social Interest Theory of Regulation Assumes That