Question 1

Much of the 19th century was dominated by a laissez faire economic philosophy,
which meant there was little regulation in the modern sense.

Accepted Answer

Laissez faire economic philosophy emphasized minimal government intervention in the economy, and thus there was little regulation in the modern sense during much of the 19th century.

Question 2

Following the terrorist attacks of September 11, 2001, the proportion of F.B.I.
resources assigned to white collar crime cases increased.

Accepted Answer

Following the terrorist attacks of September 11, 2001, the proportion of F.B.I. resources assigned to counterterrorism and national security investigations increased, not white collar crime cases.

Question 3

Federal investigative agencies are supposed to bring the most serious white collar
crime cases, where criminal prosecution is warranted, to the attention of the U.S.
Department of Justice or one of the U.S.attorneys.

Accepted Answer

Federal investigative agencies, such as the FBI and IRS, are responsible for investigating and identifying the most serious white collar crimes. Once a case is identified, they are required to bring it to the attention of the U.S. Department of Justice or one of the U.S. attorneys for potential criminal prosecution.

Question 4

A much broader range of agencies is involved in the policing of white collar
crime than in the policing of conventional crime.

Accepted Answer

White collar crime can involve a wide range of agencies at both the federal and state levels, including the FBI, SEC, IRS, and local law enforcement agencies. In contrast, conventional crime is typically dealt with by local police departments and possibly state law enforcement agencies.

Question 5

Economic regulation expanded much more dramatically from the early 1970s on than social regulation.

Accepted Answer

Social regulation, which includes policies aimed at protecting public health, safety, and the environment, expanded more dramatically from the early 1970s on, compared to economic regulation, which focuses on specific industries and economic activities.

Question 6

A major limitation on the Inspectors General's ability to root out internal
government corruption is the fact that they remain external to the department they
are investigating.

Accepted Answer

Inspectors General are typically independent from the department they are investigating and report to Congress. Although they have broad authority to investigate and root out internal corruption, they may still face limitations in terms of accessing certain information or gaining the cooperation of department officials.

Question 7

State and federal law enforcement agencies play a comparable role in the
investigation of white collar crime cases.

Accepted Answer

State and federal law enforcement agencies often have different jurisdictions, resources, and focuses, leading to variations in how they investigate white collar crime cases. Federal agencies typically handle cases that cross state lines or involve federal laws, while state agencies handle crimes that fall under state legislation.

Question 8

Regulatory enforcement occurs in only a very small percentage of the cases where
it could be applied.

Accepted Answer

Regulatory enforcement is often limited by resource constraints, competing priorities, and difficulties in detecting violations. Therefore, it is estimated that only a small percentage of cases where it could be applied actually result in enforcement action.

Question 9

The majority of tax cases investigated by the IRS are disposed of as civil matters.

Accepted Answer

According to the IRS, the majority of tax cases are civil matters and are resolved through civil enforcement actions. However, some cases may also be referred for criminal investigation if the situation warrants it.

Question 10

Federal policing agencies make the least substantial response to white collar
crime of all policing agencies.

Accepted Answer

Federal policing agencies, such as the FBI and SEC, have specialized units devoted to investigating and prosecuting white collar crime. They often have greater resources and expertise than local or state policing agencies, which may have limited capacity to address complex financial crimes. Therefore, federal policing agencies tend to make a more substantial response to white collar crime.

Question 11

In recent years, the U.S.Marshals have engaged increasingly in the pursuit of
white collar crime fugitives.

Accepted Answer

This statement is true. In recent years, the U.S. Marshals have expanded their role to include the pursuit of white collar crime fugitives, in addition to their traditional duties of apprehending violent criminals and serving warrants.

Question 12

Public pressure is less likely to be intense for arrests in white collar crime cases
than in predatory violence cases.

Accepted Answer

This is because predatory violence cases involve harm to individuals and are considered more heinous crimes, leading to greater public outrage and demand for justice. On the other hand, white collar crimes often involve financial fraud and do not have an immediate impact on individuals' safety or well-being.

Question 13

The level of FBI commitment to white collar crime has remained stable since the 	creation of the agency.

Accepted Answer

While the FBI has always investigated white collar crime, it was not until the mid-20th century that it began to focus more resources on this area. In recent years, the FBI has increased its commitment to white collar crime investigations.

Question 14

The chances of police failure in white collar crime cases are lower than in the case
of conventional crime.

Accepted Answer

White collar crimes are often more complex, involving intricate financial transactions and requiring specialized knowledge to investigate, leading to a higher chance of failure in prosecution compared to more straightforward conventional crimes.

Question 15

The U.S.Postal Inspection Service has been especially active in investigating
forms of white collar crime involving fraud.

Accepted Answer

The U.S. Postal Inspection Service is a law enforcement agency responsible for investigating crimes involving the postal system, including fraud and other forms of white collar crime.

Question 16

Historically, white collar crime has not been a principal focus of concern for law
enforcement agencies.

Accepted Answer

Historically, law enforcement agencies have focused more on street crimes such as robbery, assault, and drug offenses rather than white collar crimes such as fraud, embezzlement, and insider trading. However, in recent years, there has been a growing recognition of the significant impact that white collar crimes can have on the economy and society as a whole, leading to increased attention and enforcement efforts in this area.

Question 17

The Criminal Division of the U.S.Department of Justice is the only division of
that department that pursues white collar crime cases.

Accepted Answer

The Criminal Division of the U.S. Department of Justice handles a range of cases including white collar crimes, but it is not the only division that pursues such cases. Other divisions such as the Fraud Section also handle white collar crime cases.

Question 18

Which of the following statements about self-regulation is true?

Accepted Answer

Self-regulation is particularly important in professions where there is a potential impact on the public, such as in medicine or law. Professions often have codes of ethics and standards of practice that members are expected to follow, and self-regulation involves monitoring and enforcing these standards within the profession. Self-regulation is not commonly called for or promoted by top-level corporate executives, it can be in the interest of corporations to self-regulate, and it does not necessarily result in disciplinary actions against a large number of professionals.

Question 19

White collar crime became a major priority for the F.B.I.during the half-century
tenure of J.Edgar Hoover as the agency's director.

Accepted Answer

J. Edgar Hoover, during his tenure, prioritized crimes such as bank robbery, gangsterism, and espionage over white-collar crime, which did not become a major focus for the FBI until after his time as director.

Question 20

The lines of jurisdiction between the different federal investigative agencies are
not always sharply drawn.

Accepted Answer

Due to the complexity and variety of crimes and investigations, the lines of jurisdiction between different federal investigative agencies such as the FBI, DEA, ATF, etc. can sometimes overlap or be unclear.

Quiz 10: Policing and Regulating White Collar Crime

Much of the 19th century was dominated by a laissez faire economic philosophy, which meant there was little regulation in the modern sense.

Following the terrorist attacks of September 11, 2001, the proportion of F.B.I. resources assigned to white collar crime cases increased.

Federal investigative agencies are supposed to bring the most serious white collar crime cases, where criminal prosecution is warranted, to the attention of the U.S. Department of Justice or one of the U.S.attorneys.

A much broader range of agencies is involved in the policing of white collar crime than in the policing of conventional crime.

Economic regulation expanded much more dramatically from the early 1970s on than social regulation.

A major limitation on the Inspectors General's ability to root out internal government corruption is the fact that they remain external to the department they are investigating.

State and federal law enforcement agencies play a comparable role in the investigation of white collar crime cases.

Regulatory enforcement occurs in only a very small percentage of the cases where it could be applied.

The majority of tax cases investigated by the IRS are disposed of as civil matters.

Federal policing agencies make the least substantial response to white collar crime of all policing agencies.

In recent years, the U.S.Marshals have engaged increasingly in the pursuit of white collar crime fugitives.

Public pressure is less likely to be intense for arrests in white collar crime cases than in predatory violence cases.

The level of FBI commitment to white collar crime has remained stable since the creation of the agency.

The chances of police failure in white collar crime cases are lower than in the case of conventional crime.

The U.S.Postal Inspection Service has been especially active in investigating forms of white collar crime involving fraud.

Historically, white collar crime has not been a principal focus of concern for law enforcement agencies.

The Criminal Division of the U.S.Department of Justice is the only division of that department that pursues white collar crime cases.

Which of the following statements about self-regulation is true?

White collar crime became a major priority for the F.B.I.during the half-century tenure of J.Edgar Hoover as the agency's director.

The lines of jurisdiction between the different federal investigative agencies are not always sharply drawn.