Because States Compete to Attract Businesses, Some Believe That There

Multiple Choice

Because states compete to attract businesses, some believe that there will be a 'race to the bottom' resulting in lax state policies regarding environmental regulation. Most empirical evidence to date suggests that

A) state policies are indeed more lax than federal policies
B) the 'race to the bottom' has not taken place
C) states have not produced their own environmental policies
D) businesses do not consider state policies when deciding where to locate