1. How does the government protect property rights?
1.1. The constitution lays down the foundation for a legal system the protects the property rights. Property isn't just land but can also be inventions which is known as intellectual property. Property rights entitle the owner to determine how it is used.
2. How should government address externalities and public goods?
2.1. Governments can be equally helpful in promoting activities that have positive externalities.
2.2. An example is immunizations which help people be protected from diseases.
2.3. Government should provide public goods for the people.
3. What regulatory roles does government play in our economy?
3.1. They make price fixing illegal which keeps competitors from agreeing on a price for a good or service.
3.2. Using bid rigging, market division, and a merger.
4. What does government do to promote economic well-being?
4.1. The government promotes stability by having the widely accepted currency, the dollar, that maintains its value. It also stimulates businesses activity during economic slowdowns, through tax incentives.
