National Government - Essay Example

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Political leaders have vast powers to influence the day to day running of a nation. Their decisions hence affect different sectors of the economy ranging from economic policies, information technology, foreign policy, environmental issues,…
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National Government
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Download file to see previous pages The Constitution as the supreme law of the land empowers the government to the legal rights to control the operation of the businesses. There has been a rise in government regulation with time. Still, the business community has considerate freedom of action.
Understanding the US Government business relations requires acquaintance with the characteristics of the economy itself. The United States has a well-diversified economy with an industrial base. It is a capitalist type of economy with bantam public enterprises and lots of privately owned corporations. The success of the economy is due to control rather than the ownership by the government. These corporations are far-reaching in search for markets, operating in openness, and judicial processes take a center stage in conflict resolution. Great respect is however owed to the existing legal and economic structures (Porter, 3)
The government regulation is licensing and permission. Enterprises are required to be registered to start operations. The US also has a large number of corporations who, as a prerequisite, require a charter to commence operations. The same is required for the partnerships and limited liability companies. The policy makers, therefore, monitor the operation of these enterprises.
The US economy experienced a total economic change in last three decades. In the 1974 Summit Conference on Inflation, thirty prominent economists made a report to the then President Ford together with the congressmen. The report gave strong recommendations to enhance the economy. These included restructuring pricing and doing away with obsolete legislations that resulted in inefficiency. These policies helped develop and strengthen the banking, transportation, telecommunications and insurance sectors (Porter, 10).
In 1789, George Washingtons farewell speech had one important message concerning US foreign policy, "avoid entangling alliances". To some, these words were wise, ...Download file to see next pagesRead More
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