The correct answer is the city council passing a zoning ordinance that restricts the establishment of certain businesses in specific neighborhoods. This action is taken by a governmental entity, thereby qualifying as state action. The other options involve purely private actions or non-governmental entities, which do not meet the criteria for state action under constitutional law.
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What is meant by 'state action'?
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How does the Equal Protection Clause apply to governmental entities?
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What are examples of scenarios that would not constitute state action?