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Exam 23: Administrative Agencies

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Question 21

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New administrative agencies are rarely created in response to a crisis.

A) True
B) False

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Question 22

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If a business firm refuses to comply with an agency request to inspect facilities or business records, the agency may resort to the use of a subpoena.

A) True
B) False

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Question 23

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Administrative agencies lack the time, the resources, and the expertise to make the detailed decisions required for regulation.

Interested parties are not given the opportunity to express their views on a proposed rule because their efforts might influence agency policy.

The executive branch of the government can exercise control over an administrative agency through

A failure of the Federal Bureau of Investigation to comply with a request under the Freedom of Information Act (FOIA) may be challenged in

The Food and Drug Administration (FDA) is investigating reports that Caplets Corporation is putting potentially harmful additives in Doze, a new pain-relief medication. The FDA's demands for particular documents from Caplets

An administrative law judge's decision on a dispute over an administrative action is the final order of the agency-no appeal is possible.

Omega Company operates a computer chip production plant. Paola is the president of Omega. Rico, a representative of the Occupational Safety and Health Administration, inspects the plant and, citing a certain regulation, orders Omega to take specified steps immediately to improve sanitation at the plant. Paola believes that Rico is either exceeding his authority or that the regulation Rico claims to be enforcing is excessive. Can Omega ask a court for an order to stop enforcement of the regulation? If not, what can Omega do?

The Food and Drug Administration (FDA) is an executive agency. As an executive agency, the FDA is subject to the authority of

An agency's interpretation of the law will not be upheld by a court unless it is supported by specific evidence-a reasonable explanation is not enough.

Closed meetings of the U.S. Bureau of Land Management, a federal administrative agency, are permitted when

Administrative agencies at various levels of government can work together and share the responsibility of creating and enforcing regulations.

Because the Administrative Procedure Act imposes requirements that all federal agencies must follow, it is an integral part of the administrative process.

Notice-and-comment rulemaking involves a period during which

The president can limit the power of an administrative agency through the power to appoint its officers.

The purpose of negotiated settlements in disputes over administrative actions is to obtain funds to defray the agency's operating costs.

The Securities and Exchange Commission (SEC) wants to review certain documents of Trade Funds Inc. Whether it is permissible for the SEC to request or review the documents depends on whether the documents are

Legislatures create statutory law and administrative law.

The Federal Trade Commission (FTC) orders General Sales Company to reveal certain information. The firm complains to a court, arguing that the order is an abuse of the FTC's discretion. Like other agencies, the FTC can use a subpoena to