Command Economy Movie

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1. The goals of stability are maintaining stable prices and full employment, and keeping economic growth reasonably smooth and steady. A situation of having a stable source of financial income that allows for the on-going maintenance of one 's standard of living currently and in the near future. The attempt to balance an economic policy so that everyone benefits fairly. Situation in an economy in which the division of resources or goods among the people is considered fair. Throughout the movie the U.S economy has a command economy; where the government emphasizes these principles.
2. The first role that the government has in a market economy is resolving market failure create laws, rules, regulations, etc. There are also situations where the
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An example in the movie is Rearden metal they allowed Rearden metal to monopolize the metal industry and then later regulated it heavily to stop the market from failing. Public goods and services should be available to everyone. Roads, public library, military protection, 911, police/fire protection and a public park are examples of public goods and services. In the movie all of all these public goods/services were utilized by the public. The third role of government in a market economy is protecting property rights belong to people who own a property. The property could be physical or intellectual. The government protects these rights with federal and state larceny and theft laws and protection intellectual property through trademarks, patents, and copyrights. In the movie those that had the big patents. Those that had the intellectual property, they got fed up, they couldn 't do their job, and the government forced…show more content…
Competition is important because it is a mechanism for driving out inefficient producers. Competition forces producers to lower prices, or improve their product to attract consumers. When producers compete, they look for ways to make things more cheaply, so that they can lower their prices even further. The efficiency of Dagny Taggart’s railroad line made of Rearden Metal represents a significant advantage for Taggart Transcontinental, Hank Rearden, and the business interests the line served, such at Ellis Wyatt’s oil field operation in Colorado. Fearing the competition this greater efficiency posed to other railroads, union interests lobbied the government to pass laws limiting train traffic to sixty miles per hour (far below what the rails made of Rearden Metal would allow) and the length of all trains to sixty railcars. Neighboring states demanded that the number of trains run in Colorado not exceed the number run in their states. Rearden’s competitor Orren Boyle petitioned to have the Preservation of Livelihood Law passed which would limit the production of Rearden Metal to what other steel companies of equal capacity could produce. Eastern states pushed for the Public Stability Law, prohibiting businesses from relocating to Colorado. A group of manufacturers lobbied for the Fair Share Law which would require Rearden to supply an equal share of Rearden Metal to any manufacturer who demanded
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