The regulation of private businesses

Private Security Monitor National Regulations National laws governing the use and operations of private military and security companies vary widely in scope and complexity. The United States has the most complex regulatory system in place.

The regulation of private businesses

Creature of the State: This argument for government regulation of business, made prominent by Ralph Nader and others, holds that because corporations are chartered by states, corporate commerce should be regulated. In this view, the state charter actually “creates” the corporation, and government should regulate the behavior of its “dependent,” the corporation. Learn about the use of regulation and control in the U.S. economy, including antitrust law, government regulation over private companies and more. Regulation and Control in the U.S. Economy. Search the site GO. Social Sciences. The U.S. federal government regulates private enterprise in numerous ways. Regulation falls into two . Many private investment companies offer their shares pursuant to Rule of Regulation D under the Securities Act. Rule is a “safe harbor,” which means that an offering that complies with the requirements of Rule will not be considered a public offering within the meaning of Section 4(2) of the Securities Act.

Government Regulation of Business: Machan Tibor Machan is professor of philosophy at Auburn University where he also teaches a graduate seminar in the College of Business. Economic regulation, in particular, has come into focus during the past decade, mainly because such regulation has been associated with falling productivity rates in many industrialized countries.

But social regulation by government also is being discussed when drug abuse legislation, censorship of pornography, and similar matters are considered. Most types of government regulation involve the setting up and enforcement of standards for conducting legitimate activities.

My concern here is with government regulation of business or economic affairs by municipal, county, state, and Federal politicians and bureaucrats. During the past few years, the case for such regulation has been spelled out in fairly clear and general terms. I wish to examine the arguments which are based on moral considerations, since it is such arguments that matter in the defense of the authority of the state to treat its citizens in various ways.

Government regulation differs from government management.

The regulation of private businesses

Management involves the administration of the properties and realms which the government owns. For example, the national parks and forests are managed by government, not regulated.

So is the interstate highway system. In contrast, toy manufacturing, which is an activity of private business, is regulated by government, as are the manufacture and sale of many foods and drugs, the production of cars, and the practice of law, medicine, and other occupations.

There are some gray areas, to be sure.

Anti-Business Regulations and Laws But its true, so lets look at it. If laws stopped crimes we would be a crime free country.

The government regulates broadcasting, but it also manages the airwaves. The electromagnetic spectrum was nationalized inand the federal government has been leasing out the frequencies which private broadcasters use. So there is a combination of management and regulation which is carried out by the Federal Communications Commission.

In addition, there is government prohibition, mainly in the criminal law, in which some actions are regarded as intrinsically evil, such as murder, theft, embezzlement, and fraud.

These activities are forbidden, not regulated, while toy production or mining is regulated, but not forbidden.

The regulation of private businesses

The writing of novels, news reports, and scientific articles, in turn, is left fairly free of government interference. But here, too, there are some gray areas, such as the prohibition on the sale of certain drugs over the counter.

Nevertheless, for all practical purposes, the three categories are clearly distinguishable—regulation, management, and prohibition. I will first present the main arguments in support of government regulation of business.

Then I will consider some responses. One could ask whether government should manage forests, beaches, parks, or the airwaves, as well as whether there should be any prohibition of any human activity at all, as anarchists might ask, but our concern here is with regulation.

Creature of the State: This argument for government regulation of business, made prominent by Ralph Nader and others, holds that because corporations are chartered by states, corporate commerce should be regulated. The second moral argument for government regulation of business recognizes that a free market usually enables people to do the best that can be done.

On the one hand, free markets encourage maximum efficiency. On the other hand, free markets foster responsible conduct, and encourage the production of goods and services which are of value to members of the community.Many sectors of the business world have long complained about government regulations and their restrictive nature.


Often cited as an impediment to corporate and small business profits and a waste. government regulation of business Since colonial times, government has regulated business. The need for more responsive and effective business regulation was at least part of the reason for the fight for independence and the establishment of the federal government.

This law provides for the licensing and regulation of private security companies and their personnel in Belize. The provisions of this law were revised in October in the form of the Private Security and Investigations Control Act Chapter / The amendment . regulation of private businesses in order to protect the highways, it would also be great enough to cover their regulations for the purposes of improv- ing the transportation system .

The state of Texas now requires every new computer repair technician to obtain a private passed by Congress was a new regulation that will require U.S. businesses to file millions more s. Regulation.

States legally regulate the private sector. Businesses operating within a country must comply with the laws in that country. In some cases, usually involving multinational corporations that can pick and choose their suppliers and locations based on their perception of the regulatory environment.

Government Regulation of Business |