Review the functions of the Securities and Exchange Commission (SEC) at www.sec.gov/about/whatwedo.shtml.
Apply what you learn about the SEC to address the following items. First, briefly respond to the following:
- What event spurred the creation of the SEC? How is the creation of the Commission relevant to its functions and purposes today?
- Briefly describe the five divisions of the SEC and describe the purpose of each in the contemporary context.
- Briefly describe the responsibilities of the chief accountant.
Then, critically evaluate the effectiveness of the SEC as an agency to promote ethical behavior in the marketplace and facilitate efficient and productive economic activity.