Regulations that make it difficult to enter a particular job market are harmful because a. they reduce competition and prevent some voluntary exchanges from occurring. b. they fail to stop business exploitation of workers and consumers. c. they cause profits to become more unpredictable. d. they reduce tax revenue collected.

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Business

Akira Conrad

21 May, 13:06

Regulations that make it difficult to enter a particular job market are harmful because a. they reduce competition and prevent some voluntary exchanges from occurring. b. they fail to stop business exploitation of workers and consumers. c. they cause profits to become more unpredictable. d. they reduce tax revenue collected.

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Answers (1)

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Keith · Answer 1

A) they reduce competition and prevent some voluntary exchanges from occurring.

Explanation:

The more options available, the better. This is a rule that applies to all markets, including labor markets.

For example, you like to eat chocolate, but if only one brand of chocolate existed, would you be happier? What happens if the only surviving brand produced a chocolate that you don't like, would you still consume chocolate?

The same applies to every product or service offered, the more competition, the better.