One may think that economics is a complicated subject that should be studied and controlled by professionals. Government has been involved in making laws and regulations that affect economic principles. Three areas that can be strongly influenced by government controls are machine and technology advancement, rent controls, and minimum wage laws.
.... Measures to avoid a situation of that nature must focus on the enactment of effective policy by both local and national governments to regulate their industries, and focus on having an adequate number of revenue-generating industries so as not to jeopardize public interests.
...llocation of resources closer to the social optimum, policymakers try to induce firms in an oligopoly to compete rather than cooperate through instrument of antitrust laws. Regulatory bring legal suits to enforce the antitrust laws for example to prevent mergers leading to excessive market power prevent.
The ability for the federal government to regulate businesses’ activity is given in the Constitution. Article 1, Section 8 is known as the commerce clause; it states, “Congress shall have the Power…to regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes” (Reed, 173). Through the commerce clause, the government is able to regulate business activity by the use of administrative agencies, which is defined as “a governmental regulatory body that controls and supervises a particular activity or area of public interest and administers and enforces a particular body of law related to that activity or interest” (Administrative Agency, 1). There are two types of regulatory authority that agencies may possess; quasi-legislative and/or quasi-judicial. Quasi-legislative means that agencies can make rules and regulations that have the same impact as a law created by federal legislation. Quasi-judicial authority gives agencies the power to make rulings, just like in federal courts.
General Motors Company attaches importance to add value for customers. They important partnerships are Lyft and Maven, which are leading the way with ride sharing and car sharing. Summarize Mary Barra’s words, I knew General Motors Company focusing on safety, convenient and technology. They changing the way people get from point A to point B. Mary Barra told General Motors will corporate with IBM to create OnStar Go which use IBM Watson. This is the car industry’s first cognitive mobility platform. In early 2017, the platform provides personalized content through the dashboard, such as you can pay for
Although the belief in individual rights and responsibilities is important there must be some kind of government intervention. The government helps regulate bad companies selling third rate products and helps protect the consumer from buying these products. The government also intervenes if a company has an unfair monopoly over the entire market to help promote smaller businesses to enter the market and have a chance to produce revenue. We also know that if there is total government control the wealth of the individual suffers. Some of the poorest countries in the world rely on a Socialist government and lack economic growth and wealth.
Uber has added new safety features and measures to keep the drivers and passengers safe. First, Uber has added a new feature that “ If either a driver or passenger fall below a certain threshold, they could put on probation or disconnected from the service altogether” (2). This new rating feature is very helpful to keep the users safe. Because of this rating system now you will always get a good driver or a respectful passenger. Second, Morgan states that “ Recent safety additions include establishing a global board to oversee produces, a 24/7 incident response team, close work with law enforcement, and new features like a SOS button that would allow users to contact law enforcement straight from the app, according to the march safety update” (Morgan 2). These new safety updates like the SOS button will let you contact law enforcement fast if there was any trouble. Also the new incident response team will always be ready to respond to any problems you have with a Uber. Third, Guydish states that “ Riders receive a photo of the driver, info on the car and the license number so they can be sure they are boarding the ride they expected” (2)
Lately in the media there has been much debate about the overtaking of the Taxi industry by Uber and whether or not it should be legal in today’s society. In ‘Why I hail Uber and damn taxis’ Published in The Sydney Morning Herald Online, May 30th 2015. Wendy Squires contends that Taxi services’ time has come to be replaced by Uber. Similarly the reader comment by Andrew published on The Age Online, contends that Uber is much safer and more convenient than the old taxi service that society used to rely so heavily upon.
With regards to the power of customers within both industries, the forces are rather high as the consumer drives the business growth within each sector. Additionally, with various alternative methods of commuting available to the consumers, there is an extreme need to develop solutions that appeal and add more value to customers. For Barriers to Entry, each industry is completely different causing the overall threat to be considered medium. The transportation industry is very well established and new methods along with additional tracks and routes are not physically possible within the Chicagoland area. For the Smartphone APP industry, the force threat is extremely low as hundreds of new applications are released weekly along with the ability for new applications to be
Kay’s argument talks about the rideshare service “Uber” and how they are taking over the taxi industry. Weaknesses found in Kay’s article is when he makes Uber look bad when talking about their flashy and innovative app, which seems like he is promoting it and with a little more research, Kay can find other apps that are similar to Uber. He sounds tongue-in-cheek when writing it. Secondly, Kay is lacking evidence to support what he is trying to say in his article because his points are too weak and basic. Finally, this article left the reader wondering what is he really trying to prove in his argument about Uber since he seems to be all over the place with his arguments. Overall, this article was very weak and not
There are many rules and regulations that governments establish for businesses that help guide businesses, and at times can hinder businesses crossing international boarders. Some business sectors complain on the restrictions that come with government regulations, but there are also numerous programs and laws that benefit businesses. Industries are primarily regulated due to public welfare and safety. Different industries are reviewed and monitored regularly because if their activities or tactics go awry, there can be significant negative effects to a community's structure, financial success, and can have harmful health outcomes to the public.
Monopolistic competition was also being undertaking in the circumstance of competing against taxi cab. Uber's lower the price for each rides so that drivers would gain more passenger to which it would have an increase in demand. Allowing more consumers to use uber than taxi cab. That's one of the biggest advantage uber has and still the reason why is not yet