• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Economy stability, standard of living, labour laws and disparity of wealth and product

Extracts from this document...


Flowers are beautiful. Flowers can grow in the wild, alone, with only nature affecting their growth, or they can grow in a greenhouse, where all their conditions are controlled. With either option we find different effects on the flowers. In nature the environment can destroy the flower, but the flower in the greenhouse lacks natural nutrients received by the outside world and usually become withered. This can be related to government control within the economy. With too much control, the economy can become smothered and with not enough, it can collapse upon itself, therefore a healthy balance must be found. This brings up the issues of economy stability, standard of living, labour laws and disparity of wealth and product. On the right side of the spectrum we find capitalism. Capitalism is an ideal of free trade with no government involvement in the economy. It was created by Adam smith, and exercises the theories of laissez faire. Although in a capitalist economy the economy can see great times of boom or bust. Monopolies are also prevalent within these societies because there are no laws against such things. ...read more.


Food lunch programs were cut down along with food stamp programs and Medicare. When Regan did this increased the gap between rich and poor. In 1988 34 million people were poor and another 30 million people were near poor. The poorest 10% earned $3286 where the richest 5% earned $129 762. In 1977 before these cuts were made the poorest 10% made $3673 where the richest 5% earned 95 475. These are substantial changes that caused great disparity all because the government became more right winged. Some government control in an economy leads to better protection of its people. When you see a government that has a minor hold of the economy in its nation you will find a well-balanced society. Canada is a nation as such. Canada is a welfare capitalist state where the government intervenes to keep the economy thriving and the people protected. Citizens pay taxes toward social programs that look after those who are not as fortunate as others. Some of these programs include Medicare, unemployment and workers compensation. When you look after the people your economy will flourish. ...read more.


Compared to a socialist economy such as china, whose GDP is $ 4 300 per capita. This shows that government intervention can be helpful to sustain a strong economy. Government interaction in the economy is a necessary thing for every nation. However to what extent is a question that must be faced. To have too much control you risk the consequences of the abuse of people, poor quality goods and lack of advance in products. But if you have too little you face booms and bust, disparity, and an unstable economy. Finding equilibrium of the two extremes is a problem that nations struggle with constantly and a popular choice of many, including the successful Canada, is welfare capitalism. It's the best choice because it promotes the ideals of both capitalism and socialism. The spirit of capitalism with its free trade and market economy with advancing products and aggressive markets and the control of socialism with state programs like healthcare and unemployment coverage, education taxing and the regulation that government can provide. So when asked the question, to what extent should government be involved in the economy an impeccable answer that comes to mind is welfare capitalism. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Economy & Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Economy & Economics essays

  1. Causes of the Great Depression

    Also prospering during the 1920's were businesses dependent upon the radio business. Radio stations, electronic stores, and electricity companies all needed the radio to survive, and relied upon the constant growth of the radio market to expand and grow themselves.

  2. Split Votes: A Nation Divided on the Marijuana/Drug Legalization Debate

    Profits will go to the government and can be used for drug education programs. This would cut the cost of arresting street dealers and create revenue for the government. Also, by making regulated drug use legal, the government would cut costs arresting, prosecuting, and holding non-violent drug users.

  1. boom and bust

    going to increase in value, enough to pay off the credit and to leave people with profit.

  2. Retailing In India - A Government Policy Perspective

    The best example of this is the case of consumer electronics in China, where aggressive competition has kept supplier margins razor thin and brought rapidly declining prices to both Chinese and global consumers. Increasingly, foreign direct investment are integrating developing countries into the global economy, creating large economic benefits to both the global economy and to the developing countries themselves.

  1. Global Business Plan.

    112,094.43 Accessories $ 33,937.94 24.00% 1.96% $ 35,465.15 $ 37,061.08 TTL COST OF SALES: $ 564,671.06 32.53% $ 590,081.26 $ 616,634.92 GROSS PROFIT $1,171,122.89 67.47% $ 1,223,823.42 $ 1,278,895.47 OTHER INCOME INTEREST INCOME TOTAL INCOME $1,171,122.89 67.47% $ 1,223,823.42 $ 1,278,895.47 Percentages remain constant (except marketing to 5%)

  2. Chinese economy sets for soft landing in 2005.

    Garten compared China to "a ship moving into much rougher waters. My takeaway [from this session] is to beware of irrational exuberance when it comes to China." Great Companies, Great Leaders: The Challenge for China and the World 13.09.2004 China Business Summit 2004 As Chinese companies go global and inevitably

  1. The Social Balance - The Mixed Economy.

    They pass on into a countryside that has been rendered largely invisible by commercial art. They picnic on exquisitely packaged food from a portable icebox by a polluted stream and go on to spend the night as a park3 which is a menace to public health and morals.

  2. Is the Welfare State Desirable?

    "All hail thane of Glamis, All hail Thane of Cawdor, All hail who shalt be King hereafter", the repetition of the words "All hail" when speaking to Macbeth would prove to be of great importance as these would then echo in his mind.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work