Please enable JavaScript.
Coggle requires JavaScript to display documents.
the role of government in the economy, BLUE/COOL COLOURS MEAN TOPICS FROM…
the role of government in the economy
promoting a stable market(blue)
Monopolies are bad
because they cut out competition, if a company has a monopoly they can set the price at what they want, and less incentive to create a better quality product (NO COMPETITION)
An
example
of a
monopoly
would be when De Beers Consolidated Mines when they controlled a majority of the market for diamonds.
A
monopoly
is when a company or group has complete control over the supply of a product or service.
ensuring the safety of the consumer(blue)
The role of
Health Canada
is to set safety regulations for companies that produces goods for humans to consume. They require companies to clearly display nutritional value on a food's packaging, and they require cigarette companies to cleary warn people of the potential harms.
The role of
CSA
is to make sure that products meet industry standards for safety.
Product recalls
are when products slip through safety tests and enter the market that are not safe. If this happens, the government can force the company to issue a recall on that product. A
recall
allows the consumer to have their purchased good repaired for free or get a refund.
environmental protection(blue)
An example of environmental regulation on businesses would be
Environment and Climate Change Canada.
Environmental Protection
is important because if this did not exist, businesses and companies would pollute freely to create more profit.
labour laws
Labour Laws
are important because they enforce occupational health and safety standards, they conduct workplace inspections, they investigate workplace accidents and injuries.
LABOUR LAWS
are laws that protect worker and employer rights
CROWN CORPORATIONS
Crown Corporations
are wholly owned federal or provincial organizations that are structured like private or independent businesses.
Crown Corporations
exist so they can fulfill a need that would not make any profit for a private company.
Examples
would be Canada post.
Prevent Price Fixing
Price fixing
happens when several similar companies agree to raise the price of goods/services to increase profit. It goes against the law of supply and demand by sort of creating a monopoly(called an
oligopoly
since a small amount of businesses control the market of a product).
An example
of
price fixing
would be if two big restaurants in the same general area decided to raise the price to the same thing for a certain dish.
The
Competition Act
protects consumers from companies price fixing. It is to promote competition and ensure the best prices for consumers.
Drawbacks of Government Involvement in the Economy
Waste:
When Trudy (Trudeau) was prime minister they spent $10.7 mil this year on programs that were not useful/dont work. (
https://torontosun.com/opinion/columnists/trudeau-government-wasting-10-7-billion-this-year-funding-programs-that-dont-work-report
)
Inefficiencies
: Government employees tend to be well paid and have good job security. This can lead some of them to become lazy and inefficient at their job.
Governments have a lot of power and know information that is not as available to the general public.It is against the law for government officials to use private information to make profit. An
example
would be
bribery
.
BLUE/COOL COLOURS MEAN TOPICS FROM SLIDE SHOW PT1
RED/WARM COLOURS MEAN TOPICS FROM SLIDE SHOW PT2