Reference no: EM133298894

Question: Address whether the government accomplished its goals for the economic interventions and describe any unintended consequences of the government intervention for the following.

An example of when government intervention was designed to regulate an industry is in 1952 when President Harry Truman gained control of the steel industry. The reason that President Truman became the power of the steel industry was to attempt to stop strikes from happening while the Korean War was still happening. The U.S. Supreme Court ruled that his actions were unconstitutional, and the steel industry was made private again. The steel factory workers subsequently went on strike for 53 days after (Palmer, 2019).

Some of the parties that are affected by these policies would be the employees, company stakeholders, local citizens, and company owners. Government regulation such as taxation or policymaking affects the public and anyone involved in the business as well as the local economy. In order for a business to function successfully, companies need to treat the workers better and focus more on the regulation of company standards rather than controlling companies' employees through government authority. Employees were simply unhappy with the unfair hours and workload, so if it comes down to making new laws to prevent strikes from happening, then the government should just make changes to the regulation of employee treatment.

Governments across the world regulate certain products because they are not able to be produced just anywhere maybe due to climate or just a lack of existing minerals. Their intentions are to make money and to corner the market. They know people have less of an option to find the exact product somewhere else, so the people who produce specified products can name their prices.