3
QuizMultiple Choice

Regulatory Policy

Question 3 • * HSA 26-27 Economics

Government regulation is intended to

Answer
A
encourage producers to take negative actions.
B
discourage producers from taking harmful actions.
C
encourage producers to follow the Constitution.
D
discourage producers from making a profit.

Explanation

Government regulation sets rules and limits to reduce actions by producers that can harm consumers, workers, the environment, or the broader public. It does not generally aim to prevent businesses from earning a profit; rather, it discourages harmful practices while allowing producers to operate within those rules.

AI-written and checked against the verified answer.

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