The government intervenes in business by breaking up monopolies, placing controls on banking activities and stock sales, creating and enforcing regulations, and establishing policies concerning the labor force, explains About.com. These interventions have developed over time in reaction to historical events and trends.Continue Reading
More than 100 regulatory agencies exist in the U.S. federal government to ensure health and safety and protect consumers, according to About.com. These agencies are structured to operate independently so they won't be subject to undue political influences. There are many laws and regulations concerning the ways in which businesses interact with their employees, addressing issues such as hiring and firing, workplace health and safety, child labor, discrimination, and labor unions.
In 1890, the government passed the Sherman Antitrust Act to break up monopolies and encourage competition and free enterprise, notes About.com. In 1913, the government created a banking system called The Federal Reserve to regulate the nation's money supply and place controls on banking activities.
There is much disagreement about the role of government in the economy and whether intervention should be permissible, states The Law Dictionary. Some economists argue that government programs should be replaced by more efficient private companies. Others believe the government should exert more influence on the private sector in areas such as government-run health insurance.Learn more about Law
The state of Florida has extensive rules covering the consumption of alcohol; driving under the influence; the sale and purchase of alcohol; and other various regulations on the topic, according to Renee Chapple for About.com. The drinking age in the state of Florida is the same as the national drinking age for all states, which is 21.Full Answer >
According to the Library of Economics and Liberty, government regulations help avert market failures and improve unfairness within the system, but regulations also pose burdens upon businesses and individuals. Government regulations place limits on the freedom within which one operates; however, the goals of society deem such intervention necessary in some cases.Full Answer >
The government influences businesses through its control of fiscal and monetary policy as well as its ability to establish and abolish laws and regulations concerning how businesses can operate. By combining these control mechanisms, the government can have both a direct and indirect effect on various markets and industries.Full Answer >
Standard banking regulations are a set of federal laws that apply to all financial institutions, dictating the method for implementing specific practices and outlining behaviors and policies to ensure the rights of its customers. The regulations include laws and rules regarding the methods the institutions use to earn a profit as well as to guidelines to ensure the safety of the banking system, and thus the country's economic system overall.Full Answer >