ROLES OF GOVERNMENT IN BUSINESS

ROLES OF GOVERNMENT

IN BUSINESSCreated by The University of North Texas in

partnership with the Texas Education Agency

Roles of Government in BusinessGeneral Roles Regulator versus Provider

• Maintaining Competition• Maintaining Legal and

Social Framework• Stabilizing the Economy

• Redistributing Income• Providing Goods and

Services• Correcting for Externalities

• Government as Regulator▫ Protecting Competition▫ Protecting Business

Agreements▫ Protecting Creative

Property▫ Regulating Production

Process

• Government as Provider▫ Public Services▫ Work▫ Business

GOVERNMENT AS REGULATOR

Protecting Competition

The government protects businesses against:

▫Trust▫Monopoly/Oligopoly▫Collusion▫Price Fixing

The Government and CompetitionExamples of laws that protect companies from illegal competitive practices.

Sherman Act (1890)

Federal Trade Commission Act (1914)

Clayton Act (1914)

Websites http://www.ftc.gov/bc/antitrust/antitrust_laws.shtmhttp://www.justice.gov/atr/

MicrosoftParamount

AT&T (RBOC)

COMPANIES TO RESEARCH

Protecting Business Agreements

The government enforces binding legal agreements against various breaches:

▫Breach of contract▫Breach of fiduciary duty▫Breach of rental agreement▫Breach of warranty

The Government and Business AgreementsLaws regarding business agreements.

Uniform Commercial Code (1952)

Protecting Creative Properties

The government protects intellectual property:

▫Copyright▫Patent▫Trademark

The Government and Creative Property Examples of laws that protect intellectual property.

Copyright Law (1790)

Patent Act of the U. S. (1790)

Lanham Act (1946) Freedom of Information Act

(1966)

Websites: http://www.uspto.gov/

http://www.copyright.gov/

Regulating Production Processes

The government protects environments in which we work and live.

The Government and ProductionExamples of laws that protect the environment.

National Environmental Policy Act (1969)

Clean Air Act (1970)

Clean Water Act (1972)

Website: http://www.epa.gov/

GOVERNMENT AS PROVIDER

Public Services

The government provides jobs and work-related support to members of society.

The Government as Provider of Public Services Examples of work-related public services the government provides.

• Postal Service

• Armed Services

• Parks/Recreation

• Transportation

• Education

• Police/Fire

The government provides jobs and work-related services to society.

LABOR LAWS

• Social Security Acts (1935, 1965)• Fair Labor Standards Act (1938)• Family and Medical Leave Act

(1993)• Occupational Safety and Health

Act (1970) and Employee Retirement Income Security Act (1974)

• Websites: http://www.texasonline.com/portal/tol/en/bus/home

http://www.dol.gov/whd/fmla/index.htm

The Government as Provider of Labor Laws Examples of laws that protect the rights of employees.

•Small Business Administration•Subsidies•Tax Incentives

Business

The government provides jobs and work-related support to members of society.

BusinessExamples of business-related public services that the government provides.

Small Business Administration (1953)

Website: http://www.sba.gov/aboutsba/index.html

Investor

The government provides protection to investors in businesses.

InvestorExamples of laws that protect the rights of investors.

• Securities Act (1933)• Securities Exchange Act

(1934)• Sarbanes-Oxley Act (2002)

Website: http://www.sec.gov/

Sources Cited• ecedweb.unomaha.edu/lessons/fecga.htm• www.jmu.edu/madison/teacher/jeopardy/jeopardy.htm• definitions.uslegal.com/• www.ftc.gov/bc/antitrust/antitrust_laws.shtm• www.uspto.gov/web/offices/ac/ahrpa/opa/kids/special/

kidbright.html• www.merriam-webster.com• http://rubistar.4teachers.org/

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