principles of business, marketing, and finance lesson fourteen the role of government in a private...

Principles of Business, Marketing, and FinanceLesson Fourteen

The Role of Government The Role of Government in a in a

Private Enterprise System Private Enterprise System

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Government in SocietyGovernment in Society

• Roles of Government– providing services for members of

society– protecting citizens, consumers,

businesses, and workers– regulating utilities and promoting

competition– providing information and support to

businesses– buying goods and services– hiring public employees– raising revenue

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Levels of Levels of GovernmentGovernment

• Federal Government– Regulates foreign commerce– Regulates interstate

commerce-business involving companies in more than one state

• State Government– Regulates intrastate

commerce (business dealings involving companies that do business in only one state)


Levels of GovernmentLevels of Government

• Local Governments– County boards– City or town councils– Provide police, fire

protection, public schools


Government Protection ActivitiesGovernment Protection Activities• Citizens

– Protected through police and fire-fighting services

– National armed forces provide national defense

• Worker Protection– Laws for a safe work environment

(OSHA) Occupational Safety and Health Administration

– Government inspections and regulation of work areas help reduce the number of job-related accidents

– Cannot be denied employment due to race, religion, sex or age


Contract EnforcementContract Enforcement• Contract

-an agreement to exchange goods or services for something of value (usually money)

• Elements of a Contract– Agreement– Competent parties– Consideration– Legality

• Consumers and businesses benefit from government enforcement of contracts


Protection of Intellectual Protection of Intellectual PropertyProperty

• Patent

-gives the inventor the sole right to make, use, or sell the item for 20 years

• Copyright

-protects creative work of authors, composers, and artists for 70 years beyond the death of those individuals


TrademarkTrademark

• a word, letter, or symbol linked with a specific company or product– Businesses register company names, team

emblems, and label designs with the government

– A trademark can be very valuable

– Many trademarks are famous all over the world and are often identified with a symbol (logo)


Government Regulatory ActivitiesGovernment Regulatory Activities

• Regulate Utilities– Public utility-an

organization that supplies a service or product vital to all people

– Companies that provide local telephone service, water, and electricity

– Most utility companies are privately owned and closely regulated by the government


Government Regulatory Government Regulatory ActivitiesActivities

• Prevent Unfair Business Practices– Promote fair competition

– Prevent monopolies

– Antitrust laws-promote competition and fairness to avoid monopolies


Government Assists Government Assists BusinessBusiness

• Collects valuable information (census)

• Small Business Administration (SBA)-helps new businesses get started by guaranteeing private bank loans

• Government provides assistance for natural disasters

• Government buys goods and services

• Government employs workers


Government Raises Government Raises MoneyMoney

• Taxes– On earnings– On the value of property– On the sale price of

goods and services

• Borrowing– Issue bonds– Pay interest on the

bonds– Bonds are backed by the

government (decreasing risk for investors))


principles of business, marketing, and finance lesson fourteen the role of government in a private...

Documents

rights reservedgovernment

principles of business

new businesses

regulation of work areas

creative work of authors

businessesbuying goods

public schoolsunt

company names