Badm Ch 8

Front 1

Collaborative Partnership

Back 1

situations where government and business work close together to seek mutually beneficial goals

Front 2

Working at Arms Length

Back 2

situations where governments goals are at odds with business goals, result in adversarial relationship

Front 3

Legitimacy Issue

Back 3

business may encounter situations where governments legitimacy is questioned

Front 4

Public Policy

Back 4

is a plan of action undertaken by government officials to achieve some broad purpose affecting a substantial segment of a nations citizens

Front 5

Aspects of Public Policy(4)

Back 5

Inputs:external pressures affecting public policy
Goals:can be broad, narrow, selfserving
Tools: combination of incentives and penalties
Effects:outcomes arising from government regulations

Front 6

2 main types of pubic policy

Back 6

economic and social

Front 7

Monetary Policy

Back 7

is an economic policy
refers to policies that affect the supply, demand and value of a nations currency

Front 8

Assistance Policies

Back 8

affect particular stakeholders, advance the wellbeing of people
social public policy

Front 9

Regulation

Back 9

a primary way of accomplishing public policy
rules of conduct for citizens

Front 10

Market Failure

Back 10

marketplace fails to adjust fro the true costs of a firms behavior

Front 11

Negative Externalities

Back 11

spillover effects, result when the manufacture or distribution of a product gives rise to unplanned or unintended costs borne by consumers, competitors, neighboring communities or other stakeholders

Front 12

Natural Monopolies

Back 12

once it becomes inefficient for more than one large company to exist in that market, that company can raise prices as high as it wants, like phone lines

Front 13

Economic Regulations

Back 13

aim to modify the normal operation of the free market and the forces of supply and demand

Front 14

Antitrust Laws

Back 14

prohibit unfair, anticompetitive practices by businesses

Front 15

Predatory Pricing

Back 15

the practice of selling below cost to drive rivals out of business

Front 16

Social Regulations

Back 16

aimed at such important social goals as protecting consumers and the environment and providing workers with safe and healthy working conditions

Front 17

Cost Benefit Analysis

Back 17

helps the public understand what is at stake when new regulation is sought
compares costs and benefits of potential regulation

Front 18

Deregulation

Back 18

is the removal or scaling down of regulatory authority and regulatory activities of government

Front 19

Reregulation

Back 19

is the increase or expansion of government regulation, especially in areas where regulatory activities had previously been reduced