Question

We often discuss size of government and the roles we expect government to play (e.g. protect consumers, workers, and the environment, create opportunities or create a level playing field for businesses, and provide education and infrastructure).

Early industrialists like Henry Ford had almost no regulations to worry about because they didn't yet exist (e.g. worker safety, etc.), but the government we have today exists mostly in response to our demands. Based upon the text, articles, and videos, what does business most need from government and what does government appear to do best?

Answer 1

Govt is an institution ,upon which the people of a nation entrust with trust and power. The role of govt involves almost every activity , which the people of the nation invest in , be it economic activities , entertainment , etc. Govt forms roles and bodies which involves in the directly with the poeple and an protect them from fraud via different rules and regulations which the people involving in different activities have to abide to . The institution is funded by the tax , which the responsible citizen must pay in order to gain collective growth with investment in public goods like road construction, community building , govt schools etc.

Having discussed the above roles , overall the consumer's and producer's rights are being protected under the guidance and regulations of the govt. In earlier times , the govt didn't enjoy as much of power , because then the rights of major industries and industrialists were protected by the govt. The world was in favour of moving towards globalization and industrialisation and the percentage of people involved in such activities was very less. Hence these institutions were provided no restriction and because of lack of idea of world powers serving towards humanity, exploitation was in it's peek with labour class being most vulnerable. Their actions were not monetised , hence the decisions made by the board of directors and management with the owner's consensus , decided the fate of the company like The Ford organization.

In contemporary times, the govt regulates the activities of industries working in the boundaries of the nation. To ensure the inequality among the population doesn't rise out of proportion, ceiling wealth limits are present , meaning the amount of wealth extracted out of the business cannot expand out to a certain limit. On the other hand , if this discourages the business set ups in a nation, a major portion of GDP and revenue are deducted. Hence a level playing field with enough opportunities for the new business set ups must be present in the economy. This is supported by the inventives like tax reduction for small businesses, revenue collection from business property is reduced , low rate of interest on loans for new entrepreneurs and budding businesses is granted, etc.

The govt can regulate the activities with policies based on monetary tools , fiscal tools and other incentives. This encourages the people to work towards the desired goals. This is the role.of the govt. To be encouraging and progressive for growth and development.