Question

question 15 (1 point)
what enabled the credit card industry to impose high fees and interest rates?
a deregulation and limited oversight
b increased competition
c consumer advocacy groups
d strict regulations

question 16 (1 point)
what was the goal of a consumer protection agency?
a to eliminate credit cards
b to deregulate the industry
c to consolidate oversight and ensure fair treatment
d to increase penalty fees

Explanation:

Question 15

• Option a: Deregulation and limited oversight would reduce restrictions on the credit card industry, allowing them to set high fees and interest rates as there's less external control.
• Option b: Increased competition would likely drive fees and interest rates down as companies compete for customers.
• Option c: Consumer advocacy groups work to protect consumers, so they would oppose high fees/rates, not enable them.
• Option d: Strict regulations would limit the industry's ability to impose high fees/rates as there are rules to follow.

• Option a: Consumer protection agencies don't aim to eliminate credit cards, as credit cards are a legitimate financial tool.
• Option b: Deregulating the industry would reduce oversight, which is opposite to what consumer protection agencies do (they seek to regulate to protect consumers).
• Option c: Consumer protection agencies aim to oversee the industry to ensure companies treat consumers fairly, like regulating fees, interest rates, and disclosure practices.
• Option d: Increasing penalty fees would harm consumers, which is against the goal of a consumer protection agency.

Answer:

a. Deregulation and limited oversight

Question 16