Litigation is more likely to be effective than regulation


1. Litigation is more likely to be effective than regulation at deterring a company's harmful (negligent) behavior if:

The company is judgment proof .

Government experts have better information about the harm in question.

The harms are obvious and large.

All of the above

2. The anticompetitive division of the Federal Trade Commission examines mergers to ensure that they do not create situations in which abuse of market power can occur.

True

False

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Business Economics: Litigation is more likely to be effective than regulation
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