Question

which is a function of regulatory agencies?
encouraging business compliance
creating legislation for businesses
encouraging negative externalities
creating new business opportunities

Explanation:

Regulatory agencies aim to ensure that businesses operate within the bounds of the law and ethical standards. One of their key functions is to encourage business compliance. Creating legislation is typically the role of legislative bodies, not regulatory agencies. Encouraging negative externalities goes against the purpose of regulatory agencies, which is to promote the public good. Creating new business opportunities is not a core function of regulatory agencies; their focus is on regulation and compliance.

Answer:

encouraging business compliance