BUL3130 Chapter 15 test
The __________ power of administrative agencies is to investigate, prosecute, advise, and supervise. A) executive B) judicial C) legislative D) arbitrary E) preliminary
A) executive
To establish standing to sue for judicial review of an administrative agency's decision, a party must prove it has addressed which two issues? A) Reviewability and claim construction B) Reviewability and aggrieved party C) Primary jurisdiction and claim construction D) Judicial precedent and primary jurisdiction E) Primary jurisdiction and aggrieved party
B) Reviewability and aggrieved party
The Securities and Exchange Commission (SEC) primarily functions as a(n) __________ body, which oversees the issue and sale of investment securities. A) rule-making B) supervising C) adjudicating D) investigating E) emergency
B) supervising
The __________ is designated at the time of nomination by the president and is the presiding officer at agency meetings. A) secretary B) advisory council C) general counsel D) chairperson E) executive director
D) chairperson
The mere existence of most government programs automatically creates a new agency or expands the functions of an existing one. These agencies are providing __________. A) specificity B) expertise C) protection D) regulation E) services
E) services
Which of the following is a unique agency device generally not available in the judicial system, as courts deal only with actual cases and controversies? A) Limited cross examination B) Advisory opinion C) Formal ruling D) Investigative power E) Subpoena power
B) Advisory opinion
Which of the following statements is true of the legislature in influencing decisions by an administrative agency? A) It has the power to limit appropriation of funds to the agency. B) It cannot abolish an administrative agency. C) It is beyond its scope to advise and amend procedural requirements for the agency's adjudications. D) It has very little control over the administrative process of an agency. E) It takes decisions independently, without any consultation with the executive branch.
A) It has the power to limit appropriation of funds to the agency..
Which of the following statements is true of a consent order? A) It is extremely expensive in comparison to other types of orders. B) It is commonly known as a commission order. C) It excludes organizations and nonprofit organizations from its scope. D) It orders a violator to stop the objectionable activity and refrain from further violations. E) It requires that the accused individual admit to the jurisdiction of an agency and waive all rights to seek a judicial review.
E) It requires that the accused individual admit to the jurisdiction of an agency and waive all rights to seek a judicial review.
Which of the following procedural aspects of judicial review of an administrative agency's adjudications is true? A) Courts and legislative bodies are more capable of deciding the rules of procedure and methods of inquiry based on their familiarity with the industry than administrative agencies. B) Administrative agencies are completely restricted by the strict rules of evidence used by courts. C) The rules of procedure for an administrative agency are mandated by an act of the legislature. D) In reviewing the procedures of administrative agencies, courts have absolute authority to substitute their judgment or their own procedures for those of the agency. E) Procedures set by the administrative agencies are far less formal than judicial procedures.
E) Procedures set by the administrative agencies are far less formal than judicial procedures.
Which of the following statements is true of the executive branch of a government? A) It has no control over the administrative process of an agency. B) It normally appoints the top officials of an agency with the advice and consent of the legislative branch. C) It is denied veto power over the statues of the legislatures. D) It is excluded from making any budget recommendations to the legislative branch. E) It enacts and creates specific legislation adopted by administrative agencies.
B) It normally appoints the top officials of an agency with the advice and consent of the legislative branch.
Which of the following statements is true regarding the delegation of quasi-legislative authority to administrative agencies? A) The delegation of authority should be general and unlimited to ensure smooth running of the administrative processes. B) The delegation of authority to an agency must provide that the agency's power to act is limited to areas that are certain. C) The delegation of authority should contain broad language to avoid confusion in the performance of an action. D) The delegation of authority involves a grant of substantial discretion to the judiciary. E) The delegation of authority allows courts to interfere with the discretion given to the agency and can substitute their judgment for that of the agency
B) The delegation of authority to an agency must provide that the agency's power to act is limited to areas that are certain.
Which of the following statements is true of administrative law judges? A) They do not have immunity for damages arising from their decisions. B) They use prior decisions or precedent. C) They refrain from performing any fact-finding functions. D) They refrain from hearing cases of alleged law violations. E) They have the option of either following procedural rules of the agency or its policy directives.
B) They use prior decisions or precedent.
The Federal Reserve Board (FRB) found that Parson Incorporated, a newly-established financial company, violated banking laws. The company was involved in transactions that were prohibited by the United States government. Along with imposing a hefty fine, the FRB issued an order that Parson stop conducting objectionable transactions and refrain from making such transactions in the future. This order is an example of a(n) __________. A) consent order B) cease and desist order C) preliminary order D) commission order E) assignment order
B) cease and desist order
Delegation of quasi-legislative authority to an administrative agency must be __________ and it must be __________ in order to be constitutional. A) judicial; authority B) definite; limited C) legislative; rules D) procedural; regulations E) discretionary; policies
B) definite; limited
The doctrine of __________ is a court-created rule that limits when courts can review administrative decisions. A) estoppel B) exhaustion of remedies C) lapse D) primary jurisdiction E) precedent
B) exhaustion of remedies
The __________ is the chief law officer and legal adviser in an administrative agency. A) secretary B) general counsel C) chairperson D) executive director E) chief judge
B) general counsel
The __________ power of administrative agencies is to decide controversies. A) executive B) judicial C) legislative D) arbitrary E) preliminary
B) judicial
The administrative process can give rise to too much discretionary power, often unstructured, and unchecked. This is a criticism of the administrative process relating to __________. A) personnel B) procedures C) substances D) management E) manpower
B) procedures
Business often fails to regulate itself, and the lack of self-regulation is contrary to the public interest. To counterbalance, many administrative agencies exist to __________. A) refer the problem or area to experts for solution and management B) protect the public, especially from the business community C) replace competition with regulation D) develop detailed rules and regulations to carry out the legislative policy E) provide services that have arisen out of necessity
B) protect the public, especially from the business community
Which of the following federal agencies protects the public from anticompetitive behavior and unfair and deceptive business practices? A) Federal Trade Commission (FTC) B) Equal Employment Opportunity Commission (EEOC) C) Consumer Product Safety Commission (CPSC) D) National Labor Relations Board (NLRB) E) Federal Reserve Board (FRB)
A) Federal Trade Commission (FTC)
Which of the following statements is true of agencies' function of providing services? A) Social Security programs necessitate that there be a federal agency to determine eligibility and pay benefits. B) The mere existence of most government programs rarely creates a new agency or expands the functions of an existing one. C) Welfare programs are run easily without being administered by the government. D) Regulation by government agencies rarely functions as a substitute for competition. E) Agencies that function to provide services are created out of sheer manpower rather than necessity.
A) Social Security programs necessitate that there be a federal agency to determine eligibility and pay benefits.
Which of the following is a true statement regarding the reviewability of an administrative agency's decision? A) The Federal Administrative Procedure Act permits reviewability unless statutes preclude judicial review. B) Many statutes preclude judicial review and preclusion of judicial review by inference is common. C) All decisions by an administrative agency are reviewable and review is mandatory. D) The Federal Administrative Procedure Act allows for judicial review of decisions where agency action is committed to agency discretion by law. E) The action of the agency is irrelevant in determining the reviewability of an administrative agency's decision.
A) The Federal Administrative Procedure Act permits reviewability unless statutes preclude judicial review.
When a court of review examines the findings of fact made by an administrative agency, which of the following statements is true? A) The court does not make an independent determination of fact. B) The court does not determine if there is substantial evidence to support the action taken. C) The court does reweigh the evidence. D) The court does substitute their view of the evidence for that of the agency. E) The court does not analyze the record of the agency's proceedings to examine evidence.
A) The court does not make an independent determination of fact.
Which of the following statements is true of the executive director for administration? A) The executive director is the chief operating official of an agency and supervises usual administrative functions. B) The executive director is responsible for the minutes of agency meetings. C) The executive director is the legal custodian of the records of any meetings. D) The executive director is responsible for publication of all actions in the Federal Register. E) The executive director is the chief law officer and legal adviser
A) The executive director is the chief operating official of an agency and supervises usual administrative functions.
Which of the following statements is true of the secretary of an administrative agency? A) The secretary is responsible for the minutes of an agency meeting and is legal custodian of its records. B) The secretary is designated as such at the time of nomination by the president. C) The secretary is the presiding officer at agency meetings. D) The secretary is not responsible for agency functions such as signing orders and official correspondence. E) The secretary is the chief operating official of an agency and supervises usual administrative functions such as accounting.
A) The secretary is responsible for the minutes of an agency meeting and is legal custodian of its records.
Which of the following is a criticism related to the substantive outcome of administrative agencies' rule-making and adjudicating authority? A) The volume of rules adopted by agencies is too much for the business community to keep up and follow. B) Enforcement of some laws increases over time. C) There is often a lack of enforcement procedures to follow up on actions taken to ensure compliance. D) The administrative process is overwhelmed with paperwork and with meetings. E) The reward system usually does not make a significant distinction between excellent, mediocre, and poor performances
A) The volume of rules adopted by agencies is too much for the business community to keep up and follow.
Which of the following is a criticism of the administrative process relating to procedures? A) There is too much discretionary power in many bureaucratic hands which, left unstructured and unchecked, can result in an abuse of power. B) The decision-making process of organizations is speedy thus creating suspicion about the efficacy of those decisions. C) The administrative process is devoid of paperwork and meetings. D) There is too much reinforcement to follow up on actions to ensure compliance. E) The rules and regulations of the procedures are written in straightforward legal language, which laypeople can understand.
A) There is too much discretionary power in many bureaucratic hands which, left unstructured and unchecked, can result in an abuse of power.
The __________ function of an administrative agency involves both fact-finding and applying law to the facts. A) adjudicating B) advising C) rule-making D) investigating E) policy making
A) adjudicating
The government relies on administrative agencies for __________, which is necessary to develop sound policies and provide solutions and management for problems. A) expertise B) regulation C) services D) protection E) specificity
A) expertise
The protection administrative law judges receive from liability for damages based on their decisions is called __________. A) immunity B) specificity C) amnesty D) novation E) adjudication
A) immunity
With __________ regulatory authority, an administrative agency can make decisions like a court. A) quasi-judicial B) quasi-executive C) in personam D) quasi-regulatory E) quasi in rem
A) quasi-judicial
The secretary of an administrative agency usually __________. A) signs orders and official correspondence B) is the presiding officer at agency meetings C) makes the decision to file suit or pursue other remedies D) supervises usual administrative functions E) provides for interaction between regulators and those being regulated
A) signs orders and official correspondence
Which of the following is an order that an agency imposes on a violator to stop an objectionable activity and refrain from any further violations? A) Consent order B) Cease and desist order C) Preliminary order D) Commission order E) Assignment order
B) Cease and desist order
Which federal agency promotes dependable, affordable energy through sustained competitive markets? A) Federal Reserve Board (FRB) B) Federal Energy Regulatory Commission (FERC) C) Equal Employment Opportunity Commission (EEOC) D) Federal Communications Commission (FCC) E) Federal Trade Commission (FTC)
B) Federal Energy Regulatory Commission (FERC)
Which of the following statements is true of factors influencing agency decisions? A) It is ideal that a rule or a regulation be adopted without having to follow the due process of law. B) Agencies are predominantly politically responsible for their decisions. C) At public hearings, interested parties are allowed to present evidence in support of, or in opposition to, a proposed rule or regulation. D) Participating in the adoption process is an ineffective means of influencing a quasi-legislative decision of an administrative agency as such participation is time-consuming and expensive. E) The advantage of the administrative agencies is that they are free from any control from any branch of the government
C) At public hearings, interested parties are allowed to present evidence in support of, or in opposition to, a proposed rule or regulation.
Which of the following statements is true of primary jurisdiction? A) It is a court-created rule that limits when courts can review administrative decisions. B) It is revoked in cases where a claim is originally filed in the courts. C) It is invoked when referral to the agency is preferable because of its specialized knowledge or expertise in dealing with the matter in controversy. D) It applies when a claim must go in the first instance to an administrative agency alone. E) It does not apply to cases where enforcement of a claim requires the resolution of issues that have been placed within the special competence of an administrative body
C) It is invoked when referral to the agency is preferable because of its specialized knowledge or expertise in dealing with the matter in controversy.
Which of the following is a type of regulatory authority which gives an administrative agency the ability to issue rules that have the impact of laws? A) In personam B) Quasi-executive C) Quasi-legislative D) Quasi-regulatory E) Quasi in rem
C) Quasi-legislative
Which of the following statements is true of the organization of agencies? A) Administrative agencies or boards usually consist of 35 or 40 members to ensure transparency in their functioning. B) Appointees at the federal level are permitted to engage in any other business or employment during their terms. C) The president may remove appointees only for neglect of duty, inefficiency, or malfeasance in office. D) A simple majority of the members forming the body should belong to a different political party. E) A secretary is vested with a power to remove an appointee for malfeasance in office.
C) The president may remove appointees only for neglect of duty, inefficiency, or malfeasance in office.
Which of the following statements is true regarding the review of rule making? A) Political action at polls may not correct an unwise or an ineffectual law. B) Even after deciding that an act of the legislature or the action of an agency is authorized, a court will inquire into its wisdom or effectiveness. C) The rule-making function in the administrative process is essentially legislative in character. D) The scope of the legislature makes it impossible for it to correct an unwise regulation made by an agency in cases where the legislature was responsible for granting the agency such power. E) An administrative agency must propose rules outside its grant of power from the legislature or a court can find the proposal void
C) The rule-making function in the administrative process is essentially legislative in character.
The __________ function of an administrative agency may be accomplished by making reports to the president or to Congress. A) investigating B) adjudicating C) advisory D) rule-making E) prosecuting
C) advisory
Administrative law judges are __________. A) excluded from hearing cases of alleged law violations B) intermediaries between regulators and those being regulated C) employed by the agency bringing the complaint D) organizationally integrated with the rest of the agency E) responsible for the minutes of agency meetings and are legal custodians of its records
C) employed by the agency bringing the complaint
The __________ has significant impact on policy and is often as powerful as a commissioner or board member. A) secretary B) advisory council C) general counsel D) chairperson E) executive director
C) general counsel
When administrative agencies exercise their quasi-legislative power by issuing guidelines that have the force and effect of law, they are exercising their __________ function. A) adjudicating B) advising C) rule-making D) investigating E) policy making
C) rule-making
Which of the following statements is true of administrative agencies? A) Federal administrative agencies license and regulate intrastate transportation. B) State and local governments do not have administrative agencies. C) Administrative agencies that issue rules having the impact of laws are called quasi-judicial agencies. D) Administrative agencies create and enforce the majority of all laws constituting the legal environment of business. E) Administrative agencies with quasi-executive authority make decisions like a court.
D) Administrative agencies create and enforce the majority of all laws constituting the legal environment of business.
Which of the following are not employed by the agency but are interested in its mission? A) Executive directors B) Chairpersons C) Secretaries D) Advisory councils E) General counsels
D) Advisory councils
Why did the Supreme Court determine the Food and Drug Administration (FDA) exceeded its authority when it asserted its jurisdiction to regulate tobacco products? A) The courts typically give administrative agencies limited discretion to regulate tobacco. B) Congress did not establish policies for tobacco products with specific legislative enactments so the FDA did not have the authority to assert jurisdiction over tobacco products. C) It was not a core objective of the FDA to administer laws to prohibit distribution of adulterated, misbranded, or unsafe food and drugs, such as tobacco. D) Congress consistently acted to prevent any one agency from exercising policymaking authority over tobacco and the FDA's actions were contrary to the intentions of Congress. E) It is typical for courts to find that an administrative agency has exceeded its authority.
D) Congress consistently acted to prevent any one agency from exercising policymaking authority over tobacco and the FDA's actions were contrary to the intentions of Congress.
Which of the following functions allows an agency to gather and compile information concerning the organization and business practices of any corporation or industry engaged in commerce to determine whether there has been a violation of any law? A) Adjudicating B) Advising C) Rule making D) Investigating E) Policy making
D) Investigating
Which of the following doctrines applies when a claim is originally filed in court and requires resolution of issues that have been placed within the special competence of an administrative body? A) Estoppel B) The doctrine of exhaustion of remedies C) The doctrine of lapse D) Primary jurisdiction E) The doctrine of precedent
D) Primary jurisdiction
Which of the following is an issue of administrative agencies that relates to personnel? A) The volume of rules adopted by agencies is beyond the ability of the business community to keep up with and comply with. B) There are so many agencies making regulations directed at the business community that the regulations often overlap and are in conflict. C) The administrative process is overwhelmed with paperwork and with meetings. D) The administrative process finds it difficult to discharge unsatisfactory employees. E) There is often a lack of enforcement procedures to follow up on actions taken to ensure compliance.
D) The administrative process finds it difficult to discharge unsatisfactory employees.
Administrative agencies are needed to provide specificity to __________. A) refer a problem or area to experts for solution and management B) protect the public, especially from the business community C) replace competition with regulation D) develop detailed rules and regulations in order to carry out a legislative policy E) provide services that have risen out of necessity
D) develop detailed rules and regulations in order to carry out a legislative policy
Administrative agencies are needed to provide all of the following, except __________. A) specificity B) expertise C) protection D) discretion E) services
D) discretion
When a firm is given monopoly power, it loses its freedom of contract, and a governmental body is given the power to determine the provisions of its contracts. The government agency is providing __________. A) specificity B) expertise C) protection D) regulation E) services
D) regulation
Which of the following federal agencies seeks to prevent discrimination in employment based on race, color, religion, sex, or national origin and other unlawful employment practices? A) American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) B) National Labor Relations Board (NLRB) C) Federal Reserve Board (FRB) D) Occupational Safety and Health Administration (OSHA) E) Equal Employment Opportunity Commission (EEOC)
E) Equal Employment Opportunity Commission (EEOC)
Which of the following statements is true regarding the doctrine of exhaustion of remedies? A) It applies when a claim is originally filed in the courts. B) It comes into play whenever enforcement of a claim requires the resolution of issues that were placed within the special competence of an administrative body. C) It is an absolute principle, and courts usually deny parties the right to litigate prior to exhausting administrating remedies. D) It increases the likelihood of premature interruption of the administrative process. E) It allows an agency to discover and correct its own errors, and thus it helps to dispense with any reason for judicial review.
E) It allows an agency to discover and correct its own errors, and thus it helps to dispense with any reason for judicial review.
Which of the following is true of the Occupational Safety and Health Administration (OSHA)? A) It administers all laws relating to water pollution, air pollution, solid wastes, pesticides, and toxic substances. B) It administers laws to prohibit distribution of adulterated, misbranded, or unsafe food and drugs. C) It protects the public against unreasonable risks of injury associated with consumer products. D) It regulates civil aviation to provide safe and efficient use of airspace. E) It ensures all workers have a safe and healthy work environment
E) It ensures all workers have a safe and healthy work environment
Which of the following is true about an advisory council? A) It is more important than other agency members because of visibility and the power to appoint staff. B) It coordinates the activities of an agency with others involved in the regulatory process. C) It makes the decision to file suit or pursue other remedies. D) It supervises usual administrative functions such as accounting, budgeting, and personnel. E) It provides for interaction between regulators and those being regulated.
E) It provides for interaction between regulators and those being regulated.
