Impact Of Industrialization On The United States

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During the process of industrialization in the United States, the government decided to increase regulation of businesses, trade, and the economy overall. In his Address to the Nation on Labor Day, President Richard Nixon placed “some temporary restrictions on our economic freedom in order to create new jobs, to stop the rise in the cost of living, to protect the American dollar.” During the process of industrialization, these regulations were necessary to ensure growth and sustainability. However, now that the U.S. has a sustainable economy and has finished the process of industrialization, heavy government regulation will hinder progress rather than promote it. Historical examples from other countries prove regulation is needed…show more content…
Parker compared different levels of regulation in developing countries and compared it to the economic output in those countries. The results of this study concluded there is “a strong causal link between regulatory quality and economic performance.” Regulatory quality refers to the type and amount of regulations imposed by the government in the developing country. This study shows that in developing countries, it is important governments regulate the economy to promote equality and sustainable growth while limiting corruption. Although regulation is beneficial in developing countries, other historical examples show once countries are developed regulation is harmful. One of the best examples of a country struggling with economic growth and regulation is China. Qing-hua Wang of the Beijing University Institute of Economics and Management conducted a study which looked at 16 districts and counties in Beijing from 2009 to 2014, to evaluate the impacts of new government regulations on businesses which intended to benefit the environment. The results of the study showed, “...the Beijing environmental regulation played a significant role in economic development.” Analysis of the study suggested increasing economic or environmental regulation hinders economic growth due to making the affected companies and industries comparatively more expensive which leads to a loss in profit. For
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