Social regulations
Business Brief
The problem of state presence in socio-economic life has always been and will be the subject of heated discussions among economists, sociologists and political scientists. This issue is not only an ideological one, but also of significant importance for the state functioning. It is undisputable that the implementation of particular tasks by the state turns out indispensable for the functioning of society, however, in terms of market existence the underlying advantages, to be discussed below, are much less favorable.
The classification of social regulations
In the course of the recent 50 years the decrease of economic regulations is quite noticeable while the social ones present an increasing tendency and have been gaining significance after the Second World War. New government institutions have been established and keep preparing an increasing number of regulations referring to social issues. This trend is present both in USA and in the EU countries. As opposed to economic regulations, which refer to market and economic variables, social regulations are focused on the influence of companies and the market on workers, clients and citizens. These regulations are mainly related to the following spheres: employment, i.e. the protection of employees against discrimination, ensuring labor safety, proper working conditions, possibilities for promotion, appropriate remuneration for work, social security costs, social benefits, annuities and pensions (e.g. in USA OSHA, EEOC). consumer protection against the threats resulting from the production of harmful goods as well as the safety and efficiency of pharmaceuticals (e.g. FDA, CPSC) and also referring to water, air and environment protection standards.
The analysis
The state which over-regulates social life is referred to as the “welfare state”. The objective behind active social policy is the reduction of social poverty, the elimination of income inequalities and ensuring the sense of social
The problem of state presence in socio-economic life has always been and will be the subject of heated discussions among economists, sociologists and political scientists. This issue is not only an ideological one, but also of significant importance for the state functioning. It is undisputable that the implementation of particular tasks by the state turns out indispensable for the functioning of society, however, in terms of market existence the underlying advantages, to be discussed below, are much less favorable.
The classification of social regulations
In the course of the recent 50 years the decrease of economic regulations is quite noticeable while the social ones present an increasing tendency and have been gaining significance after the Second World War. New government institutions have been established and keep preparing an increasing number of regulations referring to social issues. This trend is present both in USA and in the EU countries. As opposed to economic regulations, which refer to market and economic variables, social regulations are focused on the influence of companies and the market on workers, clients and citizens. These regulations are mainly related to the following spheres: employment, i.e. the protection of employees against discrimination, ensuring labor safety, proper working conditions, possibilities for promotion, appropriate remuneration for work, social security costs, social benefits, annuities and pensions (e.g. in USA OSHA, EEOC). consumer protection against the threats resulting from the production of harmful goods as well as the safety and efficiency of pharmaceuticals (e.g. FDA, CPSC) and also referring to water, air and environment protection standards.
The analysis
The state which over-regulates social life is referred to as the “welfare state”. The objective behind active social policy is the reduction of social poverty, the elimination of income inequalities and ensuring the sense of social
References: Business and Financial News, Website, Retrieved June 25,2013 from http://perfectpeacefarm.blogspot.com/2012/10/importance-of-social-cost-benefit.html Industry Canada Website, Retrieved June 25,2013 from http://www.ic.gc.ca/eic/site/csbfp-pfpec.nsf/eng/la02953.html Managerial Economics. (2013). Markets and the Firm. Retrieved June 22, 2013, from http://www.cengagebrain.co.uk/shop/index.html Wahington Examer Wesite, Retrieved June 25,2013 from http://washingtonexaminer.com/1.8-trillion-shock-obama-regs-cost-20-times-estimate/article/2508466