Government Regulation

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  • Created by: T.Smith
  • Created on: 05-01-13 22:28

Government Regulation

Advantages

  • They are simple to understand
  • It is possible to fine or close down companies which have abused the regulations
  • May help to reduce the problem of asymmetric information

Disadvantages

  • It is expensive to monitor the behaviour of firms
  • There may be an extra cost to firms
  • Regulations prevent the operation of the price mechanism
  • Government failure may occur if the regulations serve to misallocate resources.

Evaluation

Comments

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Report

These government regulations help people to maintain law and order. These rules will help us to build a good economy for our country if we follow basics as professional resume writing services online also highlighted that these are major issues in the counties that we should focus on to revive.

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