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As a future business leader, you will certainly encounter many governmental regulations. Congress created administrative agencies, in part, because it could not hope to address the enormous variety and number of concerns that are now covered by administrative agencies.Although you will not learn about every administrative agency in this chapter, you can jump-start your thinking about administrative agencies by answering these critical thinking questions.

1. Your roommate states that people do not have to follow the regulations passed by administrative agencies because these regulations are not laws. She argues that only Congress can make laws. Which critical thinking question could be applied to settle this disagreement? Clue: Do you and your roommate agree on the meaning of the words she is using?

2. Some individuals may argue that the creation of regulations by administrative agencies promotes unfair restrictions on business. What ethical norm seems to be behind this thought? Clue: If you want fewer restrictions from the government, what ethical norm is influencing your thought? What ethical norm seems to conflict with the wish for fewer governmental regulations?

 3. Congress assumes that the administrative agencies will effectively address problems in their respective areas. For example, the EPA ensures compliance with environmental laws. If Matt makes the assumption that environmental problems are so complex and widespread that the EPA could not hope to make a difference, what conclusion do you think Matt would draw regarding administrative agencies? Clue: Think about a contrary assumption. If Matt assumed that the administrative agencies were effective, would he be more likely to support the regulations passed by the various agencies?