CFA Practice Question

There are 253 practice questions for this study session.

CFA Practice Question

The idea that regulations are supplied to satisfy the self-interest of producers to maximize economic profit is known as
A. public interest theory.
B. capture theory.
C. regulation theory.
Explanation: Regulatory capture occurs when a regulatory agency, created to act in the public interest, instead advances the commercial or special concerns of interest groups that dominate the industry or sector it is charged with regulating.

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