Government and the Economy

1. How does the government protect property rights?

1.1. 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.

1.2. http://fee.org/freeman/detail/private-property-and-government-under-the-constitution

1.3. http://www.sprottmoney.com/wp-content/uploads/2014/03/government-steals.jpg

1.4. The government provides its legal deed to an object with the use and disposal of the object subject to the whims and mercies of the state. With that, the state retains ownership and may at any time regulate or even repossess the property it temporarily cedes to individuals.

2. What regulatory roles does the government play in our economy?

2.1. 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.

2.2. http://economics.about.com/od/howtheuseconomyworks/a/government.htm

2.3. http://opportunityagenda.org/files/images/ROLEGOV.jpg

2.4. Stabilization and growth - the federal government guides the overall pace of economic activity, attempting to maintain steady growth, high levels of employment, and price stability.

3. How should the government address externalities and public goods?

3.1. 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.

3.2. http://www.econlib.org/library/Enc1/PublicGoodsandExternalities.html

3.3. http://canwin.org.au/entry/wp-content/uploads/2013/01/PublicGoodsGame.png

3.4. Exclude non payers from consumption or usage of public goods without creating "forced riders"

4. What does the government do to protect economic well-being?

4.1. When necessary to preserve economic stability, the government stimulates the economy by spending more money. The government also redistributes income to combat poverty.

4.2. http://www.debate.org/opinions/should-the-government-play-the-primary-role-in-the-protection-and-promotion-of-the-economic-and-social-well-being-of-its-citizens

4.3. http://www.wikiprogress.org/images//Japanindicators_frame.jpg

4.4. The economic and social well-being of citizens is the first and primary role of government where money is directed to consumers through ways of food stamps and welfare to the unemployed.