Question

Select three effects of increased government regulation:
*Housing market increases
*Reduced corporate profits
*Slower economic growth
*Increased income tax rates
*Providing consumer protections

Answer 1

Answer:

Reduced corporate profits, Slower economic growth  ,Increased income tax rates

Explanation:

Increased government regulation implies economy type inclined more towards Socialist Economy.

This type of economy implies that there is government monopoly over socio economic power. So, there is less private sector power & reduced corporate profits. Income tax is likely to be high in such government power dominated economies. Lack of private entrepreneurial competition may also lead to slower economic growth in such economies.

Answer 2

The 3 effects of increased government regulation includes reduced corporate profits, slower economic growth  and Increased income tax rates.

Basically, the activities of the Increased government regulation relates the economy type of Socialist because the government aims to control the production, supply and demand aspect of the economy

The economy with an increased government regulation means that there is government monopoly over the socio-economic power.

In this economy, there will be less private sector power and reduced corporate profits.

Also, the Income tax rate is likely to increase because the government power dominated the economic.

Also, the lack of private entrepreneurial competition can result to slower economic growth in the economic.

Therefore, the Option B, C and D is correct.

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