Government regulators are often forbidden from taking market principles into account when deciding how to manage resources.

Question

Quizplus · Accepted Answer

Government regulators sometimes take market principles into account when making regulatory decisions, such as setting prices or defining market rules. However, they are also often required by law to consider other factors, such as public health, environmental protection, and fairness. The extent to which market principles are influential varies by regulatory agency and jurisdiction.

Government Regulators Are Often Forbidden from Taking Market Principles into Account