GOVT and Mkt systems

What is the primary purpose of government intervention in market systems?

• To maximize corporate profits

• To eliminate competition

• To ensure fair competition and protect consumers

• To promote monopolies

Which government agency in the United States is responsible for regulating the pharmaceutical industry?

• Food and Drug Administration (FDA)

• Federal Communications Commission (FCC)

• Environmental Protection Agency (EPA)

• Securities and Exchange Commission (SEC)

What does antitrust policy aim to prevent?

• Fair competition

• Price-fixing and monopolization

• Market expansion

• Consumer protection

Which of the following is NOT an example of government intervention in market systems?

• Carbon pricing mechanisms

• The Affordable Care Act (Obamacare)

• The General Data Protection Regulation (GDPR)

• The Digital Divide Act

What is a monopoly?

• A situation where a single firm dominates a particular industry

• A market where prices are determined by supply and demand

• A market with a high level of competition

• A market with no government regulations

Which U.S. government agency enforces laws against deceptive advertising and unfair business practices?

• Federal Reserve

• Internal Revenue Service (IRS)

• Federal Trade Commission (FTC)

• Central Intelligence Agency (CIA)

What is a potential downside of government regulation in the financial sector?

• Increased compliance costs for businesses

• Reduced consumer protection

• Enhanced economic growth

• Greater financial stability

In the context of government intervention, what is the gig economy primarily concerned with?

• Data privacy

• Labor rights and worker classification

• Environmental protection

• Taxation policies

What is the purpose of the European Union's General Data Protection Regulation (GDPR)?

• To promote the growth of the tech industry

• To limit government access to personal data

• To eliminate online advertising

• To protect individuals' privacy and data rights

Why is finding the right balance between government intervention and market freedom important in market systems?

• To maximize corporate profits

• To ensure that governments control all industries

• To adapt to evolving economic landscapes and address new challenges

• To promote monopolistic practices