State and local governments use _____ as a way to limit and control people who plan to enter certain types of businesses.

Question

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Licensing is a process through which the government grants permission to individuals or companies to conduct business in a specific industry or sector. The government sets certain standards and regulations that need to be followed for obtaining the license. By obtaining a license, businesses ensure that they are compliant with government regulations and are thereby allowed to operate legally. It is a way for state and local governments to limit and control businesses entering certain types of industries.

State and Local Governments Use _____ as a Way to Limit