In promoting consumer protection, what is one key function of the FTC?

In promoting consumer protection, what is one key function of the FTC?

• A. Setting the prices of all goods and services
• B. Monitoring business practices for fairness
• C. Creating new businesses
• D. Controlling market competition

Answer: (B)

The Federal Trade Commission (FTC) plays a crucial role in promoting consumer protection by monitoring business practices for fairness. This function ensures that companies engage in ethical marketing, provide truthful information about products and services, and do not engage in deceptive practices that could harm consumers. By actively overseeing the actions of businesses, the FTC helps to foster trust in the marketplace, enabling consumers to make informed decisions.

Monitoring business practices also involves investigating complaints and conducting research to identify potentially harmful practices. This proactive approach helps maintain a level playing field among businesses and protects consumers from exploitation or misinformation. Through these efforts, the FTC not only safeguards consumer interests but also promotes healthy competition in the marketplace, ultimately benefiting both consumers and businesses alike.