List and explain 4 reasons in favor of federal government regulation of business. Include the economic...

List and explain 4 reasons in favor of federal government regulation of business. Include the economic consequences of each for the economy and you individuall

Expert Solution

1. Regulations are too expensive relative to their advantages prices are too advanced and work as indirect tax The taxes are additional clear and simple to live compared to regulative costs

2. If laws are tight, it'll discourage competitive economic process to enter the market In some cases, it forces corporations to exit the market lie is not any competition market can lose its diuipline and deprive shoppers of these competitive advantages that they get because of competition (like lower costs etc)

3. Government laws are redundant As long as market remains competitive, shoppers are protected by the mix of economic process and also the rule of law Any reasonably government regulation on high of that might become redundant and reserve as free market is self-r egulatory

4. Government laws generally aeate reserve confusion within the market place we do not apprehend what reasonably laws are going to be obligatory and in what manner it'll impact , enterprise

Rahul Sunny answered 1 year ago

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