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Discuss the influence of business over local governments services and regulatory activities - Essay Example

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Free market principles were prevalent in most of the economies of the world, where the private and the public participation in the markets became more or less equal…
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Discuss the influence of business over local governments services and regulatory activities
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Download file to see previous pages re the monopolies became highly influencing bodies in the terms of social, political, regional and cultural segments of the economies (Eatwell and Wright, 1999). Giant firms across different sectors started to influence the decision of the public authorities in favor of them. Red-tapism, corruption and bribery became common in the bureaucratic segments of most of the nations of the world. The private monopolistic giant firms in the market started to grasp large portions of the consumer surplus in the market by influencing the decisions of the governments. It is only after the era of globalization, when the political sectors of most of the economies were decentralized. Under this regime, the local governments and the regional institutions were allocated with some sort of regulatory powers. The local governments were entitled to check on the scale and the scope of business activities in their respective local regions (Tucker, 2010). This paper will through light on the influence of the business firms on the various activities of the local government’s services as well as its regulatory activities (Jonas and Wood, 2013). The paper will emphasize on the numerous ways (like campaign funding and lobbying and bribing) through which the business firms can influence the decisions of the local governments (Feenstra and Taylor, 2008). The context of the paper also explains the different ways in which the actions of the local governments in the modern days are undertaken in favor of the corporate companies (focusing the Euro Area). The analysis in the conclusion states that local governments in the current epoch often behave irrationally by favoring the corporate organizations as the influence of such organizations on their activities are huge.
There is no doubt about this fact that local governments have substantially influenced the operations of the business organizations. However, the case and effect factors in this context are just the opposite. It is true that in the ...Download file to see next pagesRead More
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