Regulatory Capture Is Said to Have Occurred When Which of the Following

Multiple Choice

Regulatory capture is said to have occurred when which of the following is true?

A) Rules and enforcement in an industry are heavily influenced by the industry being regulated.
B) One firm controls an entire market, having captured customers away from other firms.
C) Government imposes excessive regulations in an industry, resulting in inefficiencies.
D) Consumers make all the rules for an industry, forcing firms into inefficient production methods.