Which statement best describes the FTC's three purposes?

• A. Maintain free and fair competition; Take action against monopoly restraint of trade and unfair or deceptive trade practices; Prevent anti-competitive practices in the marketplace.
• B. Protect consumer privacy; Regulate electrical safety; Promote industry monopolies.
• C. Ensure all firms have equal tax rates; Expand market control; Eliminate small businesses.
• D. Provide social welfare programs; Direct subsidies to industries; Regulate advertising standards.

Answer: (A)

The main idea here is the FTC’s mission to keep markets competitive while protecting consumers from unfair or deceptive practices and from anti-competitive conduct. The best statement captures all three facets: it emphasizes maintaining free and fair competition, taking action against restraints of trade and unfair or deceptive trade practices, and preventing anti-competitive practices in the marketplace. This aligns with the FTC’s role of promoting competition and enforcing rules against unfair or deceptive acts or practices to safeguard consumers and the marketplace.

The other options stray from the FTC’s actual scope. They mention duties like consumer privacy, electrical safety, or promoting monopolies, or imply subsidies and broad regulatory roles that aren’t central to the FTC’s three-part mandate.