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A meeting of a federal agency must be open to public observation if the meeting involves matters relating to future litigation or rulemaking.

A) True
B) False

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When a state administrative regulation conflicts with a federal administrative regulation


A) the federal regulation takes precedence.
B) the state regulation takes precedence.
C) a cost-benefit analysis is applied to determine which takes precedence.
D) the regulations are equally valid within their jurisdictions.

E) All of the above
F) None of the above

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An informal agency action can be important because it warns regulated entities that the agency may engage in formal rulemaking if its informal policy is ignored.

A) True
B) False

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

A) True
B) False

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Guitar Maker, Inc., makes guitars. The Occupational Safety and Health Administration (OSHA) proposes a safety rule governing the handling of wood and its dust in the workplace, including the woods that Guitar Maker uses in its operations. Guitar Maker contends that the rule will involve substantial compliance costs without significantly increasing workplace safety. The firm sends a letter to OSHA indicating its objections to the proposed rule and enclosing research reports and other data supporting those objections. Does OSHA have any obligation to consider these objections? What procedures must OSHA follow when it makes new rules, such as this one?

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In formulating new rules, a federal administrative agency has to follow specific rulemaking procedures. The most commonly used procedure is notice-and-comment rulemaking, which consists of three steps-notice of the proposed rulemaking, a comment period, and the final rule. The notice of the proposed rulemaking proceeding is published in the Federal Register. The notice states where and when the proceedings will be held, the agency's legal authority for making the rule, and the terms or subject matter of the proposed rule. Following publication of the notice, the agency must allow time for persons to comment in writing on the proposed rule. If a hearing is held, the comments may be oral. The agency need not respond to all comments, but it must respond to any significant comments that bear directly on the proposed rule. Thus, if Guitar Maker's comments are significant, OSHA must take them into consideration. OSHA can respond by either modifying its final rule or explaining, in a statement accompanying the rule, why it did not make any changes. After the agency reviews the comments, it drafts the final rule and publishes it in the Federal Register. Later, the rule is compiled with those rules of other federal agencies in the Code of Federal Regulations.

The procedures used by administrative agencies in fulfilling their basic functions is known as


A) the procedural process.
B) the legislative process.
C) the administrative process.
D) the executive process.

E) A) and B)
F) A) and C)

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Preventing agencies from abusing their powers without hindering the agencies as they carry out their duties is not a governmental concern.

A) True
B) False

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


A) the subject of the meeting concerns accusing a person of a crime.
B) open meetings would frustrate the implementation of future actions.
C) the subject of the meeting involves matters relating to future rulemaking.
D) all of the choices.

E) A) and C)
F) B) and C)

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The Securities and Exchange Commission decides to create a new rule relating to the dissemination of material nonpublic information through social media. The first step is


A) compile the rule with others in the Code of Federal Regulations.
B) draft the rule.
C) publish a notice of the proposed rulemaking.
D) solicit public comment.

E) A) and B)
F) C) and D)

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As the economy has grown more complex, the size of the government has also increased, and so has the number of administrative agencies.

A) True
B) False

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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


A) compel a party to testify, but not to obtain documents.
B) obtain any information except what a party refuses to reveal.
C) harass an uncooperative business or individual.
D) reveal regulatory violations.

E) All of the above
F) A) and B)

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Information is relevant to an administrative investigation if it assures the agency that the law is not being violated.

A) True
B) False

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Congress can review new federal regulations only after they take effect.

A) True
B) False

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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.

A) True
B) False

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False

During an administrative hearing, the parties may


A) give testimony.
B) present evidence.
C) cross-examine witnesses.
D) all of the choices.

E) A) and B)
F) A) and C)

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By delegating some authority to make and implement laws to an administrative agency, Congress gives up its ability to monitor a particular area.

A) True
B) False

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After a final rule is issued, an administrative agency conducts investigations to monitor


A) consumer satisfaction with the rule.
B) affected businesses' satisfaction with the rule.
C) compliance with the rule.
D) the impact of the rule on other administrative agencies.

E) A) and C)
F) A) and B)

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C

Because federal agency rules have a binding effect, and their violators may be punished, certain established procedures must be followed in creating them.

A) True
B) False

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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


A) must be specific and adequately describe the material being sought.
B) must not be specific or an incriminating item might be overlooked.
C) must be general so as to force an uncooperative party's compliance.
D) may, but need not, be specific because this is only an investigation.

E) All of the above
F) A) and C)

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


A) a federal district court.
B) a hearing before the U.S. Freedom of Information Agency.
C) a meeting with Congress's FOIA subcommittee.
D) a special conference with the president of the United States.

E) B) and D)
F) None of the above

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