MPA Administrative Law and Regulatory Policy 2

Question 1

Which regulatory approach sets a maximum allowable level of pollution or harm and requires regulated entities to comply, regardless of cost?

Accepted Answer

Command-and-control regulation

Answer

Command-and-control regulation specifies mandatory standards or technology requirements that regulated parties must meet, with government enforcement rather than market-based flexibility.

Question 2

Executive Order 12866, issued in 1993, requires federal agencies to do what before issuing significant regulatory actions?

Accepted Answer

Submit the rule for OIRA review and conduct a cost-benefit analysis

Answer

EO 12866 requires agencies to submit significant rules to the Office of Information and Regulatory Affairs (OIRA) for review and to assess costs and benefits, centralizing White House oversight of the regulatory agenda.

Question 3

The Congressional Review Act (CRA) allows Congress to overturn a final agency rule through:

Accepted Answer

A joint resolution of disapproval passed by both chambers and signed (or veto-overridden) by the President

Answer

Under the CRA, Congress may pass a joint resolution of disapproval within a review period; once signed by the President (or enacted over a veto), the rule is nullified and the agency may not issue a substantially similar rule without new statutory authority.

Question 4

Regulatory capture occurs when:

Accepted Answer

A regulated industry gains disproportionate influence over the agency meant to oversee it

Answer

Regulatory capture describes a situation in which the regulated industry, through lobbying, information asymmetry, or revolving-door employment, effectively controls the regulatory body, undermining the public-interest purpose of regulation.

Question 5

Which term describes the process by which an agency issues a rule without going through notice-and-comment because the rule is exempt as a policy statement or interpretive guidance?

Accepted Answer

Guidance documents or nonlegislative rules

Answer

Guidance documents and interpretive rules are exempt from APA notice-and-comment requirements but are criticized for allowing agencies to effectively make binding policy without public participation.

MPA - Master of Public Administration Practice Test

MPA - Master of Public Administration Practice Test

MPA Administrative Law and Regulatory Policy 2