Samuel is struggling to run his start-up company in his locality. He is struggling because the local trade associations have established strict codes of conduct regarding certification, accreditation, and insurance obligation for businesses. In the context of economic freedom of a business environment, which of the following is adversely affecting Samuel's start-up?
A)Lack of freedom of production
B)Lack of freedom of staffing
C)Excessive regulation
D)Excessive taxation

Question

Quizplus · Accepted Answer

The strict codes of conduct regarding certification, accreditation, and insurance obligation set by the local trade associations indicate excessive regulation, which limits the economic freedom of Samuel's start-up by imposing additional costs, administrative burden, and barriers to entry. The lack of freedom of production or staffing, or excessive taxation, may also affect the economic freedom of a business environment, but they are not specified in the context of the scenario.

Samuel Is Struggling to Run His Start-Up Company in His