Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Governments Should Not Run Businesses But Only Provide Regulatory Framework For The Business - Essay Example

Comments (0) Cite this document
It is said that "In a world of instrumental rationality institutions are unnecessary; ideas and ideologies don't matter; and efficient markets-both economic and political-characterize economies."- (Douglass C. North pp 1)
The Economic History of the World has traversed through various policies and schools of thought in different periods…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER92% of users find it useful
Governments Should Not Run Businesses But Only Provide Regulatory Framework For The Business
Read TextPreview

Extract of sample "Governments Should Not Run Businesses But Only Provide Regulatory Framework For The Business"

Download file to see previous pages These ideologies positioned themselves towards left, right or center way of political thinking. Several combinations of the political and economic ideologies have taken shape with a proper mixture of what was believed to be ideal at that particular point of time. These combinations took the form of Elitism, Pluralism and Corporatism, the purpose of these theories being to define and describe the relationship between Government, Business and Society. These theories, concepts and ideologies had also given rise to certain economic terms explaining the relationship between government and business, which are important and need an understanding to pursue our further discussions on this paper. They are:
Classical Economics - implying a minimal role for the government with greater independence for the business to act and interact on its own with the forces of demand and supply to bring in equilibrium of the economy.
Keynesian Theory of Economics - advocating a higher rate of interaction by the government on the market forces at a macroeconomic level, so that the advantages of such interaction can be possessed by the business. According to this theory no equilibrium of the economy will be brought by, without the interaction of an external force like that of the government.
Neo Classical Economics - identified the inefficiency the Keynesian theory to recognize the importance of economic infrastructural inputs like transport, ports, education, competitive market etc., which are vital micro economic factors to be considered for the wellbeing of the society. Any inefficiency creeping into these sectors because of the intervention of the government would result in the weakness of the total economy of the nation concerned.
"The framework of neoclassical economics is easily summarized. Buyers attempt to maximize their gains from getting goods, and they do this by increasing their purchases of a good until what they gain from an extra unit is just balanced by what they have to give up to obtain it. In this way they maximize "utility"-the satisfaction associated with the consumption of goods and services" - (Roy Weintraub 1985 pp1)
Although these principles provide different degrees of governmental interference in the businesses, to determine exactly the role of the government in bringing about the discipline into the business would be rather difficult and would depend upon the infrastructural and natural resources in reserve for the country. This paper attempts to bring about a comprehensive answer to the question, whether the government should extend its presence more into the various businesses or limit its role to a mere regulatory body so that it oversees that the business run smoothly and achieve the goals for which they had been established. The analysis of the answer to this question is being carried out by a review of arguments against the government owning businesses and also a review of the regulations by the government on the conduct of the businesses.
The Government Business Enterprises can be defined as" agencies and organisations which are established by government- usually ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Governments Should Not Run Businesses But Only Provide Regulatory Essay”, n.d.)
Governments Should Not Run Businesses But Only Provide Regulatory Essay. Retrieved from
(Governments Should Not Run Businesses But Only Provide Regulatory Essay)
Governments Should Not Run Businesses But Only Provide Regulatory Essay.
“Governments Should Not Run Businesses But Only Provide Regulatory Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Governments Should Not Run Businesses But Only Provide Regulatory Framework For The Business

Family Run Business: Eye Candy

... everyone is trained properly related to the change process. Each family member signs off that they understand the changes which, again, keeps the business running much like a large corporation. Having these systems in place improves the health of Eye Candy and shows everyone is committed to achieving success. Summary Eye Candy is a healthy business that has managed a quality system of governance, social responsibility, professionalism, conflict control, and better operational standards. The first step was to shed age-old principles of traditionalism that were causing serious conflicts and also profit losses that were impacting every family member involved in the business. Today, the original investor now only provides opinion about product...
10 Pages(2500 words)Case Study

UK Regulatory Framework for Corporate Governance

They have to rely on the directors’ judgement in running the company. If the information were freely available to all the firm’s stakeholders at the same time, there wouldn’t have been a need for corporate governance. Therefore, the need of corporate governance has arisen in order to facilitate an effective, prudent and entrepreneurial management, which can deliver long run success of the firm (FRC, 2010, p.1). It is a mechanism as to how the vision and values of the firm are set by the board of the firm distinguished from the regular operational management of the firm by its executives. Corporate governance defines the relationship between various stakeholders such as shareholders, directors, management, employees, creditors, su...
8 Pages(2000 words)Dissertation

Marketing information to run business

...Marketing information to run business As one of my first tasks to complete upon placement in the management development program at Rufedge, Livlonghas decided for me to determine the type of marketing information that he requires to run his business. The purpose of this task is to make a detailed list of the marketing information that I believe would be useful for marketing decision making and indicate how it may be used. This is going to take some marketing research and, most importantly, a marketing plan. The marketing plan should contain the following sections: Executive Summary, Planned Sales by Month, Vision, Target Markets, Objectives (such as increased sales), Target Markets, Market Definition and Segmentation, Target Markets...
3 Pages(750 words)Essay

Businesses in the Long-run

... Topic: Lecturer: Presentation: Introduction Businesses in the long-run usually tend to operate under variable costs as a result of the inconsistency of the factors of production. Long-run involves making future plans for production when expansion of production in the short-run is limited, for example by the inflexibility of the fixed assets such as the size of the industry. The business may successfully make short-run production plans that can only be accomplished within a particular size of the industry. However, in the long-run, production may be increased and the cost of production decreased by expanding the size of the industry. The original industry size can not hold the increased output. However, the size of the expanded industry...
6 Pages(1500 words)Essay

Business Regulatory Law

...Running Head: Business regulatory Law Business Regulatory Law of the of the Business Regulatory Law Environmental regulation is very expensive area for the people in business and the government. The motive f the environmental regulation committee is to watch over the human population growth and what impacts it will have on human technology (Reed, Shedd, Morehead, & Corley, 2004, Chp 17, p 507-08). The Environmental and pollution-control laws oversee three levels f the regulation and they are follows: 1) Government's regulation f itself, 2) Governments regulation f business and 3) Suits by private individuals (Reed, et al., 2004, Chp 17, p 507). These regulations are governed by the federal government and they decide how rapidly the local...
6 Pages(1500 words)Essay

Regulatory Framework for Financial Reporting

... subsidiary companies in other countries, which function under different financial parameters and there may be a need to modify the existing regulatory and financial frameworks (Haller and Walton, 2003). When different financial accounting standards exist in different countries, it may be necessary to harmonize them and this can only be achieved through modification of the financial regulatory networks. In this context, a report published by the Institute of chartered accountants in Scotland offers the view that the current position in the context of globalization is such that there is an “ever increasing volume of accounting rules”, which is not sustainable in the long run (ICAS, 2006:2). It’s only principles based accounting is likely...
6 Pages(1500 words)Literature review

Earning Management and Regulatory Framework

... management appears to be lucrative for the managers who do not maintain corporate ethics and manipulates the financial statements so that the investors do not identify the actual performance of the business. The cases studied in the paper reflect the fact that reputed organizations like Enron and Worldcom have utilized the foot holes in various accounting principles and this has raised concern over the ethics maintained by the organizations. The government of countries likes the UK and USA has incorporated various regulatory frameworks so that the organizations maintain transparency in their actions and the interest of the investors are also protected. The evidence in the analysis of earning management reflects the fact that the violations...
9 Pages(2250 words)Research Paper

IFRS Regulatory Framework for Financial Reporting

... addressed (Eyden, 2012). Facilitates investor information For the investor, who plans to make an investment after a careful study of company financials, the IFRS proves to provide more accurate and real time data of company earnings statement and records the losses and gains in business in a more timely fashion. Investors and analysts shall find the Balance Sheet to be more useful and data presenting more of economic substance than legalities in financial statement representation. Benefits for Managers The IFRS accounting standards shall be acceptable in 120 jurisdictions and by all means, reduce the level of variations in accounting practices followed across countries for similar transactions. This framework also decides on the necessary...
9 Pages(2250 words)Assignment

Internal and External Environmental Analysis for the Bakery Business

Liberalization of foreign investment and technology policy of the government is supportive of establishing industrial units in the country.

Threat: The UK food regulatory authority is planning to enforce the EC Regulations relating to food labeling. The labeling requirements under the new regulations will affect the food industry as the suppliers will be legally obliged to disclose the GM content of foods to the caterers. Thus business firms in the bakery industry also will be effected through the exclusion of flexible manner of labeling arrangements in the case of flour confectionery involving GM Soya or maize. (Genetically modified and novel foods (labeling) (England) regulations, 2000).

Trend: The new subs...
6 Pages(1500 words)Case Study

Evandale's Business Plan

Evandale’s mission would have a strong impact on the company’s later brand development.
When a company determines its mission and its vision, it needed to determine its objectives to accomplish that vision. I did not see the objectives—where the company was heading through in the presentation. A clear objective would have enabled me, as an audience to also picture where the company would want to go and would serve as the benchmark for me to assess the later strategic choices the company would state in the presentation.
According to the slides, the potential demand for caviar and the sturgeon products are “100x” bigger than the current supply. I would have wanted to see a reliable source for...
7 Pages(1750 words)Case Study

The Management, Leadership and Teamwork Competencies Required by a Small Business Owner

On the other hand organizational leadership is defined as the ability based on the specific skill of an individual to lead his/her subordinates in a manner that pre-planned organizational goals could be achieved within the defined time-frame.

According to Burns (1978) and Bass (1985), transformational leadership has a set of category constructs such as values, morals, farsightedness, long term goals, principles, acute awareness about the dividing line between causes and symptoms, mission statements, strategic perspectives, and human resources. Similarly, they identify a set of category constructs in the transactional leadership also. For instance concentration on the task at hand, short term goals and tactics, confusion co...
6 Pages(1500 words)Coursework

Business Etquette for Business Communications Course

Who wants to give a guess? How about you (pointing at someone in the audience), yes, what is your name? Adam? What do you think, Adam – Money, Machines, Management, and Manpower? Why do you think so? And how about you, ma’am (someone else in the audience) – do you agree with him?

I think we are all in agreement: you could have Money, Machines and Management, but without Manpower, you cannot have a business. And unless you have good Manpower working well together, you cannot have a successful business.

Do people work well together naturally? Those of you who are familiar with office politics will say, “Of course not!” You are right: left to themselves, few people work well toget...
7 Pages(1750 words)Speech or Presentation

Business Information Systems

.... This organizational management of Club IT project will provide a better system management and handing. The implementation of new management system will provide: Better organizational management Better information handling Centralized information retrial Identical data format Better online information access Enhanced data security Establishment of Quality of Services (QoS) Gaining better competitive edge Performance enhancement Better inter-departmental communication Enhanced customer management Fast order processing Assessment of Needs In this high competition and complex business management world Club IT requires extensive assistance from the powerful business management systems. These business management systems and enterprise...
8 Pages(2000 words)Case Study

Business Administration

2. Describe your career aspirations, the contribution you will make to the programme and, if you will be sponsored, the value you will add to your sponsoring organisation – 500 words

I researched all of the universities in the United Kingdom (UK) and the Warwick MBA called my attention since it is one of the best-reputed universities in Europe. This will give me an opportunity to introduce myself to business and understand Financial Markets and Management. This will expand my horizons both in the theoretical (course content) setting and the praxis (networking). This will also enable me to obtain my degree without having to resign to my current job, especially, during this current financial turmoil.

We s...
6 Pages(1500 words)Essay

Business Plan Real Estate Agency

re representing our company as their business consultants and our responsibilities are limited to the knowledge of the client’s business and information provided by the client.
The company Of-Fit has been operating as office supplies and equipment supplier since 1998. Their corporate office is in Aberdeen and it has excellent industry relations. The company is a sole proprietorship and its owner is Mr. Andrew Schwatz who has been working in the industry for more than 20 years. The company current staff is 8 and its revenues are £115,690 and £156,178 in 2008. The company aims to expand its operations in other business areas and regions of the UK.
The detailed business plan developed for this report incor...
12 Pages(3000 words)Business Plan

The Main Threat to Small Business

When it comes to reliability factor big businesses are able to sustain because of their track record. Big businesses are able to pacify their customers using their past successful track records.
Nowadays most of the business opportunities and orders are posted online. This means that business providers need to be well integrated with supplier systems through online facilities. The infrastructure of the business model needs to be updated. But this is not an easy task for small businesses. E-based procurement is possible only with a well-maintained network on the internet. This requires a lot of financial and technical necessities which could not be supported by small businesses. On the other hand, Big businesses are well equip...
8 Pages(2000 words)Assignment

Business Sustainability and Society: Coca-Cola Company

...Running Head: Business Sustainability & Society Business Sustainability & Society [Institute’s Business Sustainability & Society Introduction Since centuries, ethics has been a crucial and significant component of the human societies that contributed enormously in the creation of norms and values through religious influences, as well as through contribution of intellectuals and philosophers in the society. Unfortunately, nowadays, it is an observation that individuals, organizations, and even nations have commenced to overlook the phenomenon of ethics in their practices, specifically in the business sector that has become the major stakeholder confronting criticisms related to ethical practices. Critics (Crane, pp. 23-29, 2007) argue...
10 Pages(2500 words)Case Study

International Business: World Economic Forum and Davos 2010

While each force of globalization is important, the technological revolution has impacted the business models, value creation and differentiation (Spelman, 2010). The cloud computing technologies that have made the popular social networking applications possible are now being applied to development, healthcare, and society. Today mobile telephones are more like powerful computers that take care of many of the societal challenges facing both developed and developing countries (Evans, 2010). In Chile, new software enables weather information to farmers who can now make informed decisions on when and how to sow or harvest the crops. However, the fear or ignorance of cloud computing technology could harm the chances of the SMEs becomi...
7 Pages(1750 words)Coursework

Can Business Process Outsourcing Provide a Competitive Advantage to Businesses

Different organizational components are present in this changing phenomenon like process, people and knowledge required to be handled carefully in order to avoid any effects on the businesses and organizations. These effects can comprise dissatisfaction of customers, business problems and other issues. If these are not managed carefully, the IT outsourcing strategy might not give up the expected enhanced organizational efficiencies or cost savings.
The aim of the project is to enumerate and objectively assess important factors a business needs to weigh before committing to offshore outsourcing and to come up with a holistic answer as to whether outsourcing is in the best interest of a business or not. This research will use...
9 Pages(2250 words)Research Proposal

Influence of NGOs on Businesses and Governments

...Influence of NGO’s on Businesses and Governments Introduction Non governmental organization (NGO) is a legally constituted organization by either legal personals or others. An NGO works independently from government. Although in some cases NGO’s are either partially or fully funded by government but they still are called NGO’s because of the exclusion of government from membership in the organization. NGO’s are also called civil society organizations and generally pursue wider social aims that have some political aspects. NGO’s are the voice of the civil society and fuel social development. But why do we need NGO’s. Do they represent failure of government in bringing the social justice and providing necessary human and social...
10 Pages(2500 words)Dissertation
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Governments Should Not Run Businesses But Only Provide Regulatory Framework For The Business for FREE!

Contact Us