Common Law Vs Business Law Essay

Government can legally create it 's currencies. Government always want to inflate the currency.. It provides short term economic boost as companies and corporations charge more for products. It aso reduces the value of government bonds issued in the inflated currency and are owned by investors. Investors see corporate profits. For debtors, this is a good news because they have to pay less. The biggest benefit if inflation rate is, it reduces the value of government debt. Government has several ways to control inflation. Government monetary policies are responsible for this. Government has the power to increase or decrease the money supply and its power affects the market and it’s participants. This paper will use the happenings discussed …show more content…
Miller and Benjamin reflects on common law vs civil law and how it affects the economy. The U.S has common law. According to Papers.ssrn, countries with legal system based on common law provide better investor protection and have more developed financial markets than civil law countries. The difference reflects the common law’s greater orientation toward private economic activity. It helps people and it is regulated by the government. Creative destruction also affects the market. According to Schumpeter, who came up with creative destruction, economic development was the “result of forces internal to the market and created by the opportunity to seek profit and property”. What can be learned is that government has several ways to control the economy. It is sometimes beneficial, and sometimes it is not. Inflation starts with government expansion if money supply that benefits some while producing losses for others. Res;estately, despite all the negativity of government 's policies, it makes sure economy is stable and it guides the overall pace of economic activity where people interact with each other, while some benefits, some loses because of government