1. How should Government Address Externalities and Public Goods
1.1. During the Great Depression, the role of the government in the economy greatly expanded. Since then the government has taken on even more responsibility for the economic well-being of its citizens. When necessary to preserve economic stability, the government stimulates the economy by spending more money. The government also redistributes income to combat poverty.
1.2. Governments role in dealing with externalities.
1.2.1. Governments can be helpful in promoting activites that have positive externalities
1.3. Supporting positive externalities
1.3.1. Subsidies
1.3.2. Public provision
1.4. Link: http://www.econlib.org/library/Enc1/PublicGoodsandExternalities.html
1.4.1. It explains how the government should address externalities and public goods.
2. What does the Government do to promote economic well-being
2.1. The federal and state governments implement a variety of policies to limit negative externalities and support positive externalities. They also provide public goods that are deemed necessary or desirable.
2.2. Link:http://www.neweconomics.org/publications/entry/the-role-of-local-government-in-promoting-well-being
2.2.1. This explains how the government should promote economic well-being
3. How does the Government protect property rights?
3.1. The government is empowered by the Constitution to protect private property rights. It does this through the court system, police forces, and the Patent and Trademark Office. The government may limit property rights through its power of eminent domain.
3.2. Governments roles in protecting property rights
3.2.1. Private ownership encourages people to take care of their property
3.2.2. Private ownership encourages people to make the most productive use of their property
3.2.3. Private ownership encourages people to develop their property in ways that benifit others
3.3. Link: http://www.heritage.org/index/property-rights
3.3.1. This shows how the government helps protect our property rights. It tells what they do to help, and why they do it.
4. What regulatory roles does Government play in our Economy
4.1. The government uses its regulatory power to maintain competition; safeguard consumers, savers, and investors; and protect workers. It carries out these tasks through regulatory agencies, which create and enforce standards and regulations for industries.
4.2. Governments role in maintaining competition
4.2.1. Price fixing
4.2.2. Bid rigging
4.2.3. Market division
4.3. Governments role in protecting consumers, savers and investors
4.3.1. Protecting consumers
4.3.2. Protecting savers and investors
4.4. Link: http://economics.about.com/od/howtheuseconomyworks/a/government.htm
4.4.1. This link explains how the government plays an important role helping our economy.