The new policy will primarily _____ small businesses. The _____ of the policy is still unknown.
Correct: B
'Affect' is typically used as a verb meaning 'to influence or have an impact on.' 'Effect' is typically used as a noun meaning 'a result or outcome.' In the first blank, the policy will *influence* businesses (verb), and in the second, the *result* of the policy is unknown (noun).