Government and Business Research Paper

Download this Research Paper in word format (.doc)

Note: Sample below may appear distorted but all corresponding word document files contain proper formatting

Excerpt from Research Paper:

Government and Business

Over the last 100 years, the issue of government regulation has been increasingly brought to the forefront. Part of the reason for this, is because there has been a need for various laws to be enacted to protect the safety and interests of the general public. However, due to the fact that United States is a capitalist-based economy, means that there have been calls to limit the kinds of regulations that are imposed on businesses. The reason why, is because many pro-business advocates will argue that this can stifle innovation and progress. As firms are forced to worry about how to comply with outdated laws, that are hurting their ability to compete in the global marketplace. During the last three decades, this has led to a reduction or elimination of those laws that are coming into conflict with the interest of business.

At which point, many of the politicians revised how various regulations are enforced (through having a more liberal interpretation of the law). This is when a company will have the ability to: increase their profit margins and they can start hiring once again. A good example of this can be seen with Ronald Regan saying how the government overregulated business during the 1980 election. As he felt, that if you can reduce the number of restrictions on businesses that this will improve their ability to compete (which will lead to an improvement in economic activity). This is exactly what happened in the early 1980's when his administration reduced a host of: financial, safety and environmental regulations. This helped the economy to improve with the unemployment rate dropping over the course of 8 years (Miroff, 2009, pp. 34 -- 35).

However, many critics will claim that these kinds of actions will often lead to an increase in the kinds of risks that firms are taking. Once this occurs, is when they will argue that this can lead to increased amounts of threats that will have a negative impact on everyone. Once this takes place, it means that there will be long periods of stagflation. Evidence of this can be seen with the recent financial crisis and the elimination of the Glass Steagall Act in 1999. At the time, many banks claimed that this was an out of date law that prohibited their ability to compete. The reason why, is because it forbids financial institutions from becoming involved in a host of activities at the same time to include: banking, insurance, financial planning and brokerage services. This made it difficult for American companies to compete against foreign firms that were not limited by these laws. Once the act was repealed, banks became large conglomerates that sold a variety of products. In 2007, the lack of oversight increased the risks to the financial system with many banks becoming too big to fail. This is significant, because it is showing the continuous debate about how much regulation in necessary of businesses. To determine this we will examine: the current relationship between the government / private firms, a public policy goal of citizens, the value of these laws to consumers, if corporations have political strategies and what recommendations could be used to reduce these risks. Together, these different elements will provide the greatest insights as to the role regulations play in the relationship between government and businesses (Bonnick, 2010, pp. 5 -- 10).

Describe the current relationship between government and business in the United States.

The current relationship between the government and business is one of increasing regulations. Where, a series of different laws are being enacted to protect the interests of the general public. This is because there has been an outcry about how the lack of oversight is contributing to abuses of system during the recent financial crisis. While at the same time, various firms have been pushing to limit the language and policies about how these laws are being enforced.

A good example of this can be seen with the Dodd Frank Act. In the aftermath of the financial crisis, this was supposed to protect the public against financial institutions from becoming so large that they were a threat to the economy. This is accomplished by creating a super regulator known as the Consumer Financial Protection Bureau. They have the power to regulate the size of banks and they can determine what kinds of policies will apply to consumers. This is significant, because it is showing how there is an emphasis on increasing the overall amounts of regulations of businesses ("Dodd Frank," 2011).

However, many firms have been focused on lobbying government officials to water down these guidelines. The reason why, is because they believe that strict interpretations of the law could hurt their ability to compete. If this were to occur, it could mean less financial products will be available to the general public. As a result, the government has been taking an approach by: seeking the comments from consumer advocates and businesses. This means that they are trying to create regulations that will: improve the overall amounts of protections and allow firms to more effectively compete in the markets ("Dodd Frank," 2011).

Describe one public policy goal of the United States for its citizens.

One policy goal of the United States is for the citizens to be able to feel that corporations are providing them with the best products and services. This means that executives must be engaging in actions that will help to protect the interest of the public. While at the same time, they are able to increase their overall profit margins. This is significant, because it is highlighting the role of the government with the kind of laws that have been enacted. As, they want to ensure that consumers are safeguarded against possible abuses based upon: their policies and the way they are enforced. This will create an environment of having businesses provide customers with the goods and services they demand. Whilst ensuring, that these firms are not taking advantage of their customers or the general public.

Evaluate the value of governmental regulation for American consumers.

The value of governmental regulation, is that is protects consumers against receiving products / services that are considered to be unsafe or of poor quality. What happens is all businesses are focused on increasing their profit margin. The problem is that during the process is when they will cut costs as much as possible. This means that anything that could increase these figures or slowdown production is often discouraged. If there are no regulations in place, this means that there is: a lack of quality and safety controls in place. The government prevents this by creating minimum standards that must be followed. Then, they conduct investigations and enforce various provisions of the law. This will ensure that all businesses are following the safest practices by providing consumers with something that will not harm them and is of high quality.

State whether corporations should have political strategies or not.

Corporations do have political strategies. The reason why, is because this helps them to have an influence over: how laws are enacted and ensure that any kind of enforcement will take their views into account. Once this occurs, it creates a situation where these regulations will not hurt a firm's ability to provide various products and services to customers ("Ranked Sectors," 2001).

A good example of this can be seen with the use of lobbyists by private corporations. As, number of different sectors has been spending from: $336 million to $4 billion every year on these activities. A few the largest industries that have been involved with these organizations include: finance, insurance, real estate, communications, electronics, transportation, defense, construction, health care, trial lawyers and agriculture. These elements are important, because they are showing how there a number of…[continue]

Cite This Research Paper:

"Government And Business" (2011, November 09) Retrieved December 10, 2016, from

"Government And Business" 09 November 2011. Web.10 December. 2016. <>

"Government And Business", 09 November 2011, Accessed.10 December. 2016,

Other Documents Pertaining To This Topic

  • Government Web Site Analysis Doing Business With

    Government Web Site Analysis Doing Business With the Government Because of the size of federal government, there are often opportunities for businesses to work fiscally with the government. When businesses research the possibility of doing business with the government, the verbiage shows that while there are a number of steps necessary in order to qualify for government contracts, there are also tremendous opportunities. When dealing with the ethical issues surrounding government contracts, it

  • Business Plan Gbsgreen Building Solutions Company Description

    Business Plan GBSGreen Building Solutions Company Description Product & Service Description Marketing Strategy & Plan Environmental Analysis (SWOT/PEST) Competitive Analysis Products and Services Pricing Promotion People Financial Analysis & Projections Profit and Loss Risks and Assumptions GBSGreen Building Solutions Business Plan According to the Environmental Protection Agency (EPA) the impact of commercial buildings on the physical and social environment are such that there is "not questioning the vast impact…" (Environmental Protection Agency, 2006) Commercial Buildings are reported by the U.S. Department of Energy's Energy Information Administration

  • Business Planned Activities the Current Performance Period

    Business Planned Activities The current performance period runs from late October through early December 2010. There are a number of expectations that will need to be met in order to facilitate the creation of an ongoing business entity. Weekly expectations include; 1) the distribution and return of at least 50 surveys that will assist in determining the need and desire for a new travel agency, 2) a completed cost analysis, 3) compilation

  • Business Law What Is the

    The most significant purposes comprise: persuading actions of the members of a culture, resolving disagreements inside the culture, upholding significant social values, and providing a way for social change (Meiners, Ringleb and Edwards, 2009). Canadians are recognized for their logic of fair play, their admiration for working people, and for their devotion to the rule of law. These principles are reflected in the legal system governing Canada's businesses (Phillips,

  • Business Ethics Book Review of

    Thus, the authors do not advocate an ethical free for all, for they acknowledge certain ethical broaches can result in corporate legal costs, thus resulting in executives violating the ethics of their profession -- but this is a more important ethical standard than either laws or social responsibility, stress the authors. The authors also acknowledge that in the current environment, government regulations must be obeyed by businesses, else they face

  • Business Management Major Was Developed in Part

    Business Management Major was developed in part on the principle that Business Managers are essential to shaping America's future leaders. Business Managers are responsible in the field for providing diverse and innovative insight into organizations worldwide. A successful Business Major will come away from college with forward thinking notions, creative insight and a disciplined spirit (Harriman, 2003). Career opportunities that often result from studying Business Management include management positions that

  • Business Strategic Management Corporate Governance, last accessed on September 28, 2007 Mark Hillon, Chaos and Complexity, Storytelling Organization,, last accessed on September 28, 2007 David E. Wojick, Chaos Management and the Dynamics of Information: A New way to Manage People in Action, Washington DC,, last accessed on September 28, 2007 Scott Love, October 13, 2004, Chaos Management for the Resilient Leader, Asheville,,last accessed on September 28, 2007 Robert Heller, July 8, 2006, Entrepreneurial Management: What's

Read Full Research Paper
Copyright 2016 . All Rights Reserved