Evaluate the Effectiveness of the Regulatory Regime in a Selected Market of Your Choice

1980s Introduction of the modern regulatory system; self-regulation among asset managers, statutory oversight of banks and insurers. The Financial Services Act 1986 (FSA 1986) marks a step change in the nature and extent of UK investment business regulation. April 1988 sees the introduction of a regulatory system that has investor protection as its main aim. The system is based on five selfregulating organisations (SROs);48 membership organisations tasked with the creation, monitoring and enforcement of rules for their respective members. The SROs cover five different areas of financial services; futures broking and dealing, financial intermediation, investment management, life assurance broking

The first national regulatory efforts in the late 1800s were intended at punishment for, and the prevention of, abuses in the marketplace, antitrust violations, and price gouging. During the 20th century, government regulation became even more extensive, focusing not only on preventing certain kinds of practices, but also requiring that certain in service standards can and should be met. And the past 50 years, more than a dozen new regulatory agencies have been shaped at the national and state government levels, following the route of new regulatory statutes. Regulatory measures contact virtually every part of our lives.

My research paper will be revolved around how the parliament is regulating the conduct of society particularly centred on business law and how laws affect transactions and interactions. I will also state how our society impacts and influences these laws set by our parliament. To introduce the topic I will present a brief background of the current parliamentary regulations which impact business interaction and transactions also providing information on how society influences and supports these legal rules. To make my arguments credible I will present relevant case findings on parliamentary regulations that are involved with business transactions and regulations.

The uk government sets monetary policy by adjusting the funds rate. This affects other short-term and long-term rates, including credit-card rates and mortgages. Governments define fiscal policy by setting taxation levels and writing legislation and regulation for everything from health care to the environment. Fiscal and monetary policy changes can affect businesses directly and indirectly, although competitive factors and management execution are also important factors.

In this essay I will discuss a few terms and how their relationships apply between regulation and market structures, as well as how regulation policies affect the market.

The most efficient way for consumers to get what they want is through the ‘market’, not the government, but businesses have more power than their customers. Some businesses can and will use abuse this power and cheat and steal from consumers to make money. Because of this, the government regulates the behaviour of businesses to have a market economy that functions properly. These laws mainly protect consumers against; misleading/deceptive representations, unconscionable conduct, unfair contracts, and unsafe goods and/or services. To protect consumers, different legal and non-legal approaches have been taken.

In this task, Customer of Legislation, I will discuss the five main acts of parliament that the legislations are made for the business. The legislation is a law, which there are five for businesses, which everyone must follow the law, however, the ideas of Laws in a business are made by the government to make sure customers of a business are protected from a business by the five Acts of Parliament. These Laws of parliament will make sure the Business follows the rules for customer’s protection purposes. However, if they don’t follow the rules, the customers could be harmed; the businesses must be honest to customers; the business must not take advantage of customers.

Market regulation is a microcosm of normative economics, both in value and judgement. The primary purpose in a regulated market is ensuring fair services to customers and labourers. This lays parallel to Marx’s criticism of capitalist businessmen and their lack of enforcement, which starkly contrasts

In order for the Federal Reserve to fulfill their goal of moderate long term interest rates, stable prices and maximum employment, they rely on developing strategic changes to the monetary policy. Through monetary policy changes, the Federal Reserve can either restrict or encourage economic growth and inflation, thereby molding the macroeconomy into a state of consistent health. Overall, there are three tools used to modify the monetary policy, they include reserve requirements, discount rates, and open market operations. In an effort to promote price stability within the economy, these tools influence monetary conditions by affecting interest rates, credit availability, money supply and security prices. While one tool is use more frequently than the others, all three are necessary in establishing stable economic conditions.

1. The elimination of potential regulatory gap or overlaps arising from member regulation and market regulation

Interest rates are manipulated by expanding or contracting the monetary base. This comprises of circulatory currency and reserves in

First of all, every economic sector that was subject to economic regulation before 1975, has undergone significant changes in the nature and extent of regulation. These changes had profound effects on the structure of industries, price levels, costs and productivity. The industries in which changes occurred in economic regulations are the carriers, heavy transport, public transport, railways, telecommunications, production and transportation of natural gas, cable television, banking and financial services , electricity and property insurance and liability. These industries vary in structure, behavior, nature of regulation, and distribution of responsibilities between federal and state regulatory authorities. There are also wide variations in the major reasons, causes, and consequences of regulatory changes in these industries.

The Fed uses three tools that help influence the Monetary Policy. Open Market Operations, Discount rate, and Reserve Requirements. The open market

The Trading Standards Institute enforces consumer related legislation as determined by central government. The variety of this legislation is vast and is always evolving. In view of this changing environment, the Trading Standards Institute is dedicated to engaging with central government and other proposals, displayed in their responses to the various consultations that concern consumer protection issues and/or the Trading Standards profession. (TSI 2010)

Regulations imposed by the government in any economy determine the market efficiency and growth. Policies and laws governing the flow of goods and out flow determined the internal trade affairs. When the government formulates policies and regulations, which is the market conducive, efficiency is enhanced. In such instances, the outcomes of the market yields can be predicted. Such ability of the policies and regulations to enhance efficiency in the markets can be enabling the government to have prior arrangements and plans concerning future economic goals. On the other hand, as the governing body there is a need to establish the effectiveness of the current policies in enhancing marketing efficiency. However, there is a need to establish the criteria for determining the correctness and effectiveness of the regulations which are to be set. Governing body should intervene in the control of the market regulations though independent bodies and private sectors should be involved in such regulations formulations. Many economies, such the United states and United Kingdom, the government has the power to intervene in the market policies. When the market fails in such instances, the government is blamed for the failure. The modern economies advocates for more freedom of choice in the formulation of regulations of the markets. Others concentrate on the efficiency of the policies and regulations in the achievement of the market goals.