...1) What is Government Policy The term ‘government policy’ can be used to describe any course of action which intends to change a certain situation. Think of policies as a starting point for government to take a course of action that makes a real life change. Government uses policy to tackle a wide range of issues. In fact, it can make policies that could change how much tax you pay, parking fines, immigration laws and pensions. Law can also be changed by government, so when they create a policy it can be made to affect specific groups of people or everyone in our society. Government departments (such as education or finance), agencies (like Land and Property Services or the Housing Executive) and councils all make policies that affect our lives. These policies can be influenced in many ways: political parties or individual politicians lobbying decision makers in government voluntary organisations community groups public opinion public consultations the media 2) Influence to Population Government make policies to population or population policy to determine the principles, objectives and policies adopted by the State as regards population issues for the purpose of influencing the population status, including variables in population growth and its main elements (fertility, births, deaths, geographical distribution, immigration, population composition such as population youthfulness or rising rate of the elderly, as well as general issues relating...
Words: 755 - Pages: 4
...Q1. Market Failure: is to do with not having enough resources to produce enough goods and services needed neither by the government nor by the society, as a result of this failure, the government develop a role to intervene in the economy in order to overcome these problems. 1. Public goods: According to the business dictionary, public good is an item whose consumption is not decided by the individual consumer but by the society as a whole; and which is financed by taxation. A public good or service may be consumed without reducing the amount available for others and cannot be withheld from those who do not pay for it. E.g. parks, police services, fire services etc. Consumers have an incentive to not reveal their willingness and ability to pay for public goods if they believe that they will be expected or required to contribute to financing the public good accordingly by the government. After all, if the public good is supplied, it will be available to them just as it would be to anyone else because pure public goods are non-excludable. This is the essence of the “free rider problem”: the incentive which consumers have to avoid contributing to financing public goods in proportion to their valuation of such good. Good examples to use include TV licence dodgers and people who choose to evade the Council Tax but who still receive local authority services. Another example might be a group of residents in a block of flats who all stand to benefit from the refurbishment of an...
Words: 3687 - Pages: 15
...Virtual Economy – Government Policy and Outcomes INTRO Within our model we have changed five variables (as shown in figure 1): lowered the basic rate of income tax to 20%, lowered VAT to 12% and increased government spending on health, education and employment, and defence each by 5%. This report will explain the impact upon mainly 3 economic indicators: unemployment, inflation and government debt, before analysing different implications on the economy. It should be appreciated that the government targets for these three factors are low unemployment, low inflation and low government debt, although recently this target has become to reduce government debt. It should also be noted that sustainable positive economic growth is also a government target. We will analyse the effects that these policies have and speculate its impact upon other economic indicators. Upon doing so we will determine a base rate (interest rate) that will improve the economic circumstances of our model and give recommendations on policy usage. Inflation The initial RPI deflation as seen in figure 2 can be explained by the government reflationary policy of lowering the rate of VAT. The affect of lower VAT payments results in business’ passing on their savings onto the consumer via a lowered price, which leads to deflation in the short term. However, within a two year time period RPI will augment to 7.5%. Keynesian fiscal theory suggests that reflationary fiscal policy is the best way to stimulate aggregate...
Words: 1592 - Pages: 7
...The overwhelming unpopularity of the Vietnam War led to the heightened social, political, and economic tensions in the United States in the 1960s and 1970s. Though itwas motivated by largely the same policies from the Cold War era (domino theory,containment, etc.), it was felt that those policies were outdated and US intentions in thewar quickly became unclear and misguided. The ambiguity of the war led to social unrestin America, yielding many protests which drew attention to the economic squandering of the government, the large inequalities among different social groups, and theinconsistencies within government policy. Many Americans adopted the belief thatthough it had been a mistake to get involved in Vietnam in the first place, we needed...
Words: 1242 - Pages: 5
...There are three branches of government that was established by the U.S. Constitution: the legislative, the executive and the judicial. Each of these areas have different responsibilities and is to be independent of each other. There is a checks and balances system formed by the constitution, so that no one branch of government has complete power over the affairs of the United States. The legislative branch which consist of the Congress and the Senate job is to propose and enact laws, to legislate. The function of the executive branch to make sure these laws are put into effect through several governmental departments. The president is in command of all governmental departments and offices. Health and Human Services (HHS) is the relevant example for us here. And it is the business of the judiciary (the courts) to “adjudicate”—that is, to make judgments about who is right or wrong according to the law as in (a) disagreements between citizens (civil law), (b) deciding the guilt or innocence of citizens who disobey laws (criminal law), and (c) disagreements between citizens and government agencies (often administrative law). Court orders reinstating an (“unfairly”) terminated government disability benefit or revoking the commitment of a person to a mental institution are examples of checks and balances in action. Public programs are established through legislation, which usually begins with a group of people concerned about a growing issue within a community or even nationwide. In...
Words: 824 - Pages: 4
...NAME: OMONDI IAN FELIX ID NUMBER: 630956 COURSE: IBA 4020 SEMESTER: SUMMER 2013 LECTURER: STEPHEN GITHAIGA TASK: ASSIGNMENT 1 1. Why do government apply trade policies yet they know that gains from trade is enhanced by free flow of goods and services into a nation? To protect domestic industry during its infancy period The government puts up policy for the benefit of the local industry. It protects the infant industries until when they can meet foreign competition, attain economies of scale and reflect the nation’s long-run comparative advantage. However, a nation may have potential comparative advantage in a commodity, but because it lacks technology and the initial small level of output, the industry will not be in a position to successfully compete with foreign firms unless government protects it. To protect labor intensive industries who employ unskilled workers In industrial countries protection to labor intensive industries is very crucial, as the low–wage workers would have great difficulty in seeking alternative employment if they lost their present jobs. To encourage the industry and confer greater external economies on society External economies refers to benefits to society at large, for instance, by training workers who then leave to work in other industries. In that case, there is likely to be underinvestment in the industry, because the industry does not receive the full benefit from its investment. Thereby, restriction of imports is put...
Words: 897 - Pages: 4
...Task 5 M1 – Analyse the implications of government policies on Balfour Beatty. * Discuss how changes in the levels of priorities of government spending might affect the company. How might managers react to these changes? * An explanation of the multiplier mechanism. * Discuss effects on the firm’s possible expansion plans. * You should analyse the impact that government policies have on a selected business and the possible reactions of the business to the decisions. (Word document 2/3 sides of A4) The table below will help you to structure your work – when you analyse the impact of each policy remember to discuss in terms of government spending priorities and M1 links with P2 and P3. Policy | Definition | Example (S) | Business ImpactAdvantages and disadvantages | Management Reaction to Policy | Economic Policy | Economic Policy designed to deal with growth, unemployment and inflation to improve standards of living and reduce unemployment. Linked with policies on education, training and skills. | In December 2009, the (then) Chancellor of the Exchequer, Alistair Darling, announced a package of measures to try to tackle unemployment. These included internships and guarantees of places in education or training for every 16 and 17 year old in the UK. This was due to the level of young people being NEET (Not in Employment, Education or Training) exceeding one million people, i.e. 1 in 10 of people aged 16– 19. | An advantage to the business...
Words: 860 - Pages: 4
...The Governments Fiscal Policy and Healthcare Proposals Trisha Elledge Colorado Christian University Abstract Bernie Sanders is looking to convert our country to a universal single-payer healthcare system. The following paper will break apart the article written by Avik Roy for Forbes titled Bernie Sanders’ Single-Payer Health Care Plan Would increase Federal Spending By At Least $28 Trillion. By converting to a single-payer healthcare system households would suffer more than they would thrive. Increased taxes, less government revenue and a higher unemployment rate can all come from implementing Berniecare into our country. Although Bernie Sanders is claiming to give “free” healthcare to all, I will point out why it is not free at all and why we should give the control of our healthcare back in to the hands of the people and out of the control of the government. The Governments Fiscal Policy and Healthcare Proposals According to Reem Heakal with Investopedia, “Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation’s economy.” This can include the changing of tax rates nationally or adding a new local tax, adjusting where money is spent and allocated or changing where our government dollars and tax dollars will be used. Each year the government decides where our money will be divided out by agreeing on the upcoming year’s budget, however; as the year goes on money is overspent or gets cut and has...
Words: 1438 - Pages: 6
...In 2008 following the collapse of the housing market, the economy subsequently collapsed itself. The people of the United States of America endured an economic crisis of a magnitude that hadn't been seen in eighty years. Along with the loss of homes came the loss of jobs and subsequent significant drop in federal revenue. Coming into presidential office in 2009, this was the most significant issue Barack Obama was tasked with correcting. To which Obama put forth a $787 billion dollar stimulus package. When looking at whether the stimulus package was a success or not, the first and possibly most important factor is that economists almost universally agree the stimulus package was necessary in preventing the nation from enduring a depression. Though there are skeptics as there always will be, especially in subjects that involve politics, through economic experiments most economists conclude without the stimulus package the economy would've caused a depression. But another important factor is the recovery act had a long term effect. And the answer in short, is yes. The "Recovery Act" did manage to create 5 million new jobs and even used some of it's budget to invests in solar and wind power. A very forward thinking act while in the middle of an immediate crisis. However, while the Recovery Act did prevent the economy from hurdling into a modern day great depression, it was not perfect in it's mission. President Obama was confident the national unemployment rate would not rise...
Words: 465 - Pages: 2
...Government: Immigration Policy Immigration is made up at the federal level; the guidelines are recognized with the route of the Immigration and Nationality Act (INA) in 1952. The Immigration Reform and Control Act (IRCA) of 1986 was ratified to restraint illegal immigration, rejecting welfare assistance to undocumented immigrants and solidification consents against employers who hire them. While the White House has the control of enforcing immigration laws, the United States Congress has all the control over all immigration linked regulations. It is in the control of the Federal governments over immigrations laws that constantly being maintained by the U.S. Supreme Court, which have intimidated challenges by state legislature to single out immigrants. The Supremacy Clause of the U.S. Constitution is understood...
Words: 612 - Pages: 3
...Competitive Strategies and Government Policies ECO/365 Principles of Microeconomics October 28, 2013 Feedback from Instructor (Published: Sat 11/02/2013 07:04 PM MST) Earned Points: 9.6/10 Comments: Week 5: Team Paper Assignment Grading Rubric =========================================================== CONTENT 70% Address the following topics: (1) New companies entering the market, mergers, and globalization, on pricing and the sustainability of profits: Identify the type of merger activity in your industry or one with which you are familiarhorizontal, vertical, or conglomerateand explain why you made that choice.: Content Grade / Comments: Good, meets expectations. Good amount of detail about auto industry globalization and competition. (2) Current and expected government policies and regulations, including taxes and regulations in place to address issues related to externalities Content Grade / Comments: Mostly good. You could have gone into more detail about the incentives created and the (unintended) consequences of regulations and how this impacts decisions made by the firm. (3) Global competition on the decisions made by management with regards to change in labor demand, supply, relations, unions, and rules and regulations in your chosen industry Content Grade / Comments: Good, but this section seems more hypothetical and less applied. You should have given more details related to banking, but overall good points. (4) Recommend how the industry you chose may respond...
Words: 1857 - Pages: 8
...Competitive Strategies and Government Policies ECO 365 Competitive Strategies and Government Policies Companies are becoming more competitive over the course of time. As the population grows so do new company’s aiming to be successful. For a construction company, this is especially true. Current businesses and new businesses want growth and the construction companies are who make the physical structure of the business happen. Included in this paper, is a discussion of how horizontal mergers, government policies and regulations related to externalities, and business decisions by management affect the construction business entirely. The construction industry has been a result of a lot of change in the past few years. The construction industry consists of small business to the very large corporation. A small business in the construction industry can be considered a simple handyman business. A large business in the construction industry can be considered a new commercial builder. With the limited barrier of entry the construction industry has been threaten by new companies entering the market. New companies entering the marking have posed a threat in which causing the existing construction companies to have a strategic plan to prevent from closing their doors. With a strategic plan in place the existing construction companies will have the tools needed to compete with newer companies entering the market. The recent events in the economy have increase globalization. Globalization...
Words: 2342 - Pages: 10
...HLT-205 April 17, 2016 Instructor: Deborah Conway Government Agencies and Health Policy The United States Health Care system has evolved from the home visit by the town doctor concept, to a more complex system of regulatory agencies, policies, rules and regulations that govern the practice and art of medicine. It is a system in which billions of dollars have been budgeted and dedicated to ensuring the country is delivering affordable, quality care. The ultimate goal of the U.S. system is making sure quality care is accessible to its consumers and is value added care that will result in clinical outcomes aimed at reducing the nation’s mortality rate and increasing or extending the average life expectancy. In order to achieve that goal the system is divided into different segments, with each segment responsible for a specific function. For example, there are agencies that are responsible for the safety of prescriptions drugs; credentialing and accreditation; payments and reimbursements; and infectious diseases just to name a few. In addition to the agency’s specific function, the agency’s goals and objectives are driven by a specific mission and operate within their assigned scope; one such agency is the Center for Disease Control and Prevention (commonly referred to as the CDC). This essay will examine: the mission of the CDC; issues that are addressed by the CDC; the impact and influence the CDC has on policy and delivery and current initiatives of the CDC. The essay...
Words: 1518 - Pages: 7
...| Inflation and Government Economic Policies | M3:A2 | 5/1/2013 | | ECO 201 M3:A2 5/1/13 1. What is inflation? Inflation is an increase in prices for goods and services (What is Inflation?). What are the causes of inflation? Inflation has a variety of possible causes, but they are between the Keynesian and monetarist theories, ranging between demand-pull, cost-push, built-in inflation, and the quantity model. With demand-pull, inflation is caused by aggregate demand being more than supply. With cost-push, inflation is caused when manufacturers and businesses raise prices due to shortages in order to balance increases in production costs. With built-in inflation, inflation occurs due to prior increases in prices caused by demand-push or cost-pull. And with quantity, inflation is caused by having too much money in the economy (What Causes Inflation?). Is inflation desirable and what can be done to control inflation in a market economy? Inflation is desirable when it is low, because low inflation represents price stability which is perfect for productive planning and investment. There are many ways to control inflation in a market economy which varies between a Keynesian and monetarist approach. Using a Keynesian approach, the government would get involved by breaking up monopolies, regulating commodity prices, and controlling wage levels, while using a monetarist approach, the government would make changes in policy in order to control the amount of money...
Words: 1159 - Pages: 5
...Competitive Strategies and Government Policies Mar Viens ECO/365 January 26, 2015 Muhammad Bashir Competitive Strategies and Government Policies Globalization is the increasing integration of economies, cultures, and institutions across the world (Colander, 2013 ). Globalization is a cause for increased competition in smartphones leading to lower prices. Corporations producing smartphones face an increase in the number of competitors with the integration of economics in the global world. China is dominating many areas of the global consumer electronics, according to Global Consumer Electronics Market Outlook 2015 (MarketWatch, 2014), forcing domestic corporations to compete with foreign countries. The increased competition has corporations working harder to gain an advantage in the industry that allows companies to produce at lower prices than their competitors. Some government policies and regulations affect the industry, such as patents, anti-dumping laws, and electronic waste legislation. Some companies are motivated by patents to innovate while others are discouraged to innovate because of the patents. Companies can develop smartphones using patent protected devices or the processes are prevented from producing technological innovations. A few corporations have created better products than patent protected devices but are unable to sell the product. The lack of changes at times makes it hard to differentiate between phones. New devices such as the iPhone...
Words: 508 - Pages: 3
