The government is very important to the citizens of the United States. The United States has a federal system of government, which means that the responsibilities are shared across the levels of government. The federal government has primary responsibility for national security, economic stability, and market competition. The government can establish and enforce the roles of the game, promote competition, regulate natural monopolies, but just about the most important part of the government is providing us with a healthy economy by using the fiscal policy.
The government makes the rules for almost everything in the United States. If we did not have the government to make rules and to make everything fair then things such as contracts would
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The government, by the way of its taxing, ability to spend, and controlling money supply attempts to promote full employment, price stability, and economic growth. The government strives to gain these objectives by taxing and spending which is called the fiscal policy. There are tools of the fiscal policy and they are sorted into two broad categories. The first one is called automatic stabilizers which are revenue and spending programs in the federal budget that automatically adjust with the ups and downs of the economy to stabilize disposable income and consumption and real GDP. The second one is the discretionary fiscal policy which requires the deliberate manipulation of the government purchases, transfer payments, and taxes to promote macroeconomic goals, some of these discretionary policies are temporary.
The discretionary fiscal policy can close a contractionary gap and is also able to close an expansionary gap. An expansionary fiscal policy can close a contractionary gap by expanding government purchases, lowering net taxes, or both. Because the short run aggregate supply curve turns upward, an increase in aggregate demand raises both production and the price level in the short run. A contractionary fiscal policy can close an expansionary gap by slowing down government purchases, increasing net taxes, or both. Fiscal policy reduces aggregate demand to close an expansionary gap which
When looking up the definition of a government it says, “the governing body of a nation, state, or community”(dictionary.com). This helps to understand it a bit more, but what is the purpose of a government. Government has many purposes that keep its people safe and protected, this includes to establish justice, insure domestic tranquility, provide for the common defense, promote the general welfare, and secure the blessings of liberty to ourselves and our posterity. There are so many ways that the government is use and there are so many sub categories and even those have categories. So when one is faced with a question like this there any number of responses, and but the main purpose of a
Another form of macroeconomic policy is fiscal policy, which involves the use of the Commonwealth Government’s budget in order to achieve the Government economic objectives. By varying the amount of government spending and revenue, the government can effectively alter the level of economic activity, which in turn will influence economic growth, inflation, unemployment and the external indicators of the economy.
What is government? It is a system which regulates a nation, city, state, or any specific group of people. It enforces law, provides services, and more or less bands a society together. It is the ultimate servant to the people along with big corporations who for the price of capital provide services and conveniences for the betterment of the people especially in the United States. Their work is communicated in the media in a positive manner. However the media only communicates to you what the government wants Americans to know and pushes out the real issues. Many Americans fail to see that the land of the free suffers from a lack of opportunity and upward
There are several functions of American Government that are important to the success of this country but I am going to choose three that I think are the most crucial. One of the function of the American government that is important is to protect their sovereign territory and their people and to provide national defense. I think this is a key function of the American government. This protects citizens from both at home and abroad from acts that endanger them from their well-being. An example of this is in the event of a war it is crucial to have national defense to protect the citizens of their territory and those who are in the armed services. Though the rules and responsibilities vary through time, governments must create them. Governments offer the limits for everyday behavior for citizens, protect them from outside interference and often provide for their security.
Government activities have a powerful effect on the US economy in stabilization and growth which is the most important are. The federal government guides the pace of economic activity, attempting to maintain steady growth, high levels of employment, and price stability. They do so by adjusting spending and fiscal policy- tax rates- or managing money supply and controlling use of monetary policy-credits. It slows down or speeds up the economy’s rate of growth, which affects the level of prices and employment. After the Great Depression in the 1930’s, recession (high unemployment) was
This policy involves increasing government spending and cutting taxes, in order to spur economic output. But if the government decides they need to do the opposite the government may adopt concretionary fiscal policy. This involves a reduction in government spending and an increase in taxes when faced with an overheating economy. But these actions, may have other effects in the economy. For instance, and expansionary fiscal policy may lead to the crowding out of investment.
Government is extremely important in a country, because without it, all hell would break loose, and wrong doers would receive
the government holds us together. it keeps us from doing whatever they feel. with a government we are more likely to be safe and feel secure. if the government collapsed war would break out everywhere, we wouldn't feel safe or secure instead we would feel fear. people would only know things related to violence.
4 Government is good at doing some things, and bad at doing others The Role of the United States Government Think of government like a scalpel, it can be used for good and bad depending on it's intent Government= A Monopoly? Sometimes. Government has to control some business- like the DMV. But others should probably be taken by private sectors- like mail services Pros Government Regulation Cons prevents unqualified entrpreneurs from becoming ivloved
The United States government’s main priority is to always protect the citizen’s using any means possible. In some scenarios money, security, or the military would be requested to ensure the people’s well-being. Natural disasters, foreign aid, and shootings are only a number of situations that would require the government to keep the people and nation safe. The government is used for many tasks, but their main concern is to keep the citizens protected from any dangers.
Another advantage of discretionary fiscal policy is the expansionary component. Expansionary fiscal policy allows for the government to expand the money supply in the economy, rather it be to increase spending or cut taxes. When spending is increased, jobs are created. This happens through public work programs or indirectly through contractors. Through job creation, more money is spent, which causes a boost in demand and through that economic growth is possible. When the government cuts taxes and provides tax reliefs, more money is put directly into the pockets of business which stimulates greater business growth and competition. An example of this can be seen through the U.S. government's policy to cut taxes and give tax reliefs to household
There are two separate ways that the economy can be regulated; the two options are fiscal and monetary policy. Both of these policies main goal is to get the economy to be in economic equilibrium. Economic Equilibrium is a condition or state in which economic forces are completely balanced and allows for optimal use of the economy. Then we are faced with the question of if the economy in in an inflationary gap or a recessionary gap. This paper is going to be based primarily around the actions the government should take to get our economy out of the recessionary gap and put it back into equilibrium. A recessionary gap occurs when the level of Real Gross Domestic Product is currently lower then it is at full-employment, which puts downward pressure on prices. This is when it comes time to decide on what actions we want to take, whether they are monetary or fiscal.
Instead, the government uses Nondiscretionary Fiscal Policy (Automatic Stabilizers). This fiscal policy is built into the structure of federal taxes and spending. Some examples of this are the progressive income tax (the major source of federal revenue) and the welfare systems, which both act to increase AD in recessions.
I think that without the regulations a government provides everyone would be doing what they want causing the country to turn into chaos and eventually there would not be any people left living. My view on government and the protection, resources, and regulations it provides has a lot to do with my political typology.
First, what all is the government responsible for? We can begin to address this question by looking at the United States Constitution.