The government is the governing body of a local community, nation or state. Business, government, and society each has its objectives, and an understanding of these objectives will help us see how the three are related and how influential ideas in the business environment shape the business-government-society relationship. A business’ main objectives are to increase sales, keep low costs and maximize its profits. On the other hand, society 's objectives focus on the clean environment, survival, access to health care, food, shelter, the opportunity to succeed and education. Lastly, the objectives of government are to provide regulations that will promote the fair and safe use of resources in addition to protecting citizens against unethical business practices.
The fiscal policy is used to control aggregate demand and government expenditure in the economy. The demand pattern will be affected when there is a change in fiscal policy. The government can also intervene by fixing price floor and price ceiling. The price floor or minimum price is the established price that is set by the government at a level above the equilibrium price. This price is not allowed to decrease below the minimum level so that sellers can sell their products at higher price.
He elucidates further that the people who control and protect the elite/ruling class hold top positions such as "cabinet ministers, MP's; senior police'; military officers and top judges (Miliband, 1969). However, in answer to Miliband, Poulantzas (1969, 1976) provided his own theory that suggested the power in a 'state' lay with the construction of society rather than an personage basis. He confers that there is a "factor of cohesion of a social formation" therefore suggesting that a 'state' is indispensable in order for the function of a capitalist society. Poulantzas also conversed that, while the 'state' did indeed protect the interests of the elite and ruling classes, the make-up of the 'state' did not necessarily consist of members of the ruling class (Poulantzas, 1976). Marxist theory of the 'state' and capitalism has been supported and both criticised throughout the decades, however, there is clear evidence within today's societies that a 'state' does indeed exist, one need only observe the United Kingdom of present day.
Hana Awadalla 900142735 Dr. Adel Beshai ECON202102 What do we want from our government? A market economy is an economy in which decisions concerning investment, production, and distribution are grounded on supply and demand, and prices of goods and services are determined in a free price system. In this form of economic organization, firms, motivated by the desire to increase profits, buy inputs and produce and sell outputs. The government has several roles to play in a market economy; according to Adel Beshai, “its role is pivotal to the success of liberalization.” These roles include the promoting of efficiency, the income of distribution and the growth and stability of an economy. The roles of the government are to be prominent in three
When the society is full of such occurrences undoubtedly a means of achieving the legitimate boundaries become evident and then people try to stabilize such a society where there is everything on a fair basis. The evolution of the Fair trade originated from such backgrounds and the below written is an eye opener to such facets in the society of modern economy and trade. It illustrates what economy is and what a countries economy is and how the economy and trade are bound to one another with the difference of nation’s races and ethnic
CHAPTER THREE 1. OVERVIEW OF GOVERNMENT EXPENDITURE AND ETHIOPIAN TRENDS 1.1 Types and Classification of Government Expenditure The economy of a country is greatly influenced by the level of government or by the amount of government expenditure. It is one of the main processes by which the welfare of the people is ensured and it is a vital aspect of a government’s budget. It is an important tool in the hands of government that can be utilized for the maximization of public satisfaction. Again, it helps in overcoming the inefficiencies of the market system in the allocation of economic resources.
Introduction Monetary policy is the process by which the monetary authority of a country controls the supply of money, frequently aiming a rate of interest for the purpose of promoting economic growth with stability. The goals generally include relatively stable price and decreased unemployment. Monetary economics provides insight into how to craft optimal monetary policy. Definition Fiscal policy is how the government manages its budget. It collects revenue through taxation that it then spend on different programs.
8.0 Conclusion In conclusion, Industrial Relation is important to create a harmonious workplace and create a positive and harmonious relation between employers and employees. It involve tripartite system which consists of employer, employee and government. Government play an important role which it administrate through the Ministry of Human Resources, the law will be implement through parliament and become the employer in the country of private sector and public sector. It protect the welfare of workers safety, health and rights. It also equip the unemployed with basic industrial skills and to improve the skill level of the workforce.
And the supply of the services may be forthcoming by means of competition or authority. Finally, there may be government regulation in place which restricts the degrees of freedom of government, resulting in a situation where government as the regulator regulates itself as the service provider. In modern governance, government and its CEOs act on the demand side of the public household, facing a number of suppliers or as we will call them ‘players’ in the economy, looking for government contracts. The modern regulatory scheme requires that all players be treated in an equal manner, entailing that the players with the lowest cost should receive the contract, all other things being equal, e.g. service quality.