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Essay / Research Paper Abstract
This 5 page paper looks at three ways government intervenes--through regulation, redistribution and reallocation--and provides examples for each. The Microsoft and Visa/Mastercard antitrust suits are discussed. A discussion on policy with respect to redistributing funds between school districts is also included. Bibliography lists 7 sources.
5 pages (~225 words per page)
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Unformatted sample text from the term paper:
government interference is unnecessary as that causes more harm than good. The fact that people use the Windows operating system is because it is a good product, not because the
public has no choice. But competitors disagree with Microsofts claim. The suit against Visa/Mastercard is similar, and in this instance American Express will be testifying on behalf of the government.
Are they doing so due to jealousy? Are competitors like Apple and Netscape sore losers or do these companies have a point? To what extent is government intervention necessary?
The topic is broad and much is evidenced by politics and ideology. Economists consider the importance of government intervention as well as its hindrance in terms of the growth of
business. This subject is not limited to federal regulation by any means. Government at various levels puts its hand into the peoples business a lot more than they want anyone
to realize. There are state and local regulations that hinder business growth. In some jurisdictions such as New Jersey, a restaurant owner will have to pay a great deal
of money to secure a liquor license whereas in other states, the cost of serving alcohol is not as great. Other examples include districting, environmental regulations and licensing that may
serve to hinder businesses from growing. Although some regulation is designed to protect the consumer, as well as the average citizen from harm, they do sometimes put a business owner
at odds with the government. Not only does government get involved with regulation, but reallocation, such as in distribution of public goods or correction for spillovers or externalities, is
also problematic. Redistribution, or the transfer of income from one group to another through a government program is also a sore spot. This latter redistribution topic is one that