Legislative Influence on the Economy :: essays research papers

Legislative Influence on the Economy Throughout history, there have been instances of the governing body affecting the economy, be it with the B.U.S. or with the Fair Labor Standards spell, the government has played an important determination in our economy. The government rescued the United States from the Great Depression by increasing demand and lowering taxes. During the 80s, the United States was forced into a recession that threatened to destroy the economy. Both instances were due to intervention of the government to the economy. Most of the government intervention is done by subsidy, which is a approach pattern of economic aid to assist a private enterprise, but a good deal is also done by legislation. There argon many theatres in which the government influences the economy through legislation. One theater of operations influenced by legislation is business. Calvin Coolidge said, The business of America is business. The government has seen to it that it is fair with th is. During the tardy 1800s and early 1900s, several bills focusing on jailbreak up the trusts were passed with unanimity. It began with the Sherman Anti-Trust Act. This Act outlawed and restraint on trade or competition, and caused the insularity of the Standard Oil trust into twenty different companies. Another area where legislation has been used to help control the economy was in trade. With the breaking up of large trusts and monopolies with the Sherman Anti-Trust Act, A group had to be able to lend oneself the new laws, and so in 1914, the Federal Trade Commission Act was passed, months before the Clayton Anti-Trust Act was passed to fill in the gaps left by the Sherman Anti-Trust Act. With solely of these new companies sprouting up, an increase in the number of jobs occurred, but it is no surprise that workers were not being paid fair wages, and so in the area of labor, the government passed the Fair Labor Standards Act. This act created the way by which everybody works to day. A minimum wage, 40- hour work week, and control of fry labor. This legislation itself was invoked by large labor unions such as the American Federation of Labor (AFL) and the Congress of Industrial Organizations (CIO), both of which sought to make better working conditions and wages through negotiations with employers. One overdue act was the nerve centre Inspection Act, largely influenced by Upton Sinclairs The Jungle. The act was passed in 1960, pertinacious overdue considering the circumstances.