I want your viewpoint on questions in Businesses ?

[sophomore]

Hello there, people who knows economics, I would like your viewpoints/opinions on some questions inside Businesses [economics].

First 2 is regarding the role of government "regulation", the third is one is regarding "private authority" .

1) Do you think that market forces tend to overlook the social impacts of business activity?
2) Is voluntary to self-regulation by business likely to be a more productive course for ensuring business meets its responsibilities.

3) What do you think is driving the rise of private authority [i.e. the ones by corporations/firms, as opposed to traditional public authority (rules/regulations set out by government institutions) ]

Please share your insights.
Thankyou

[himan275]

one is an absolute yes. where the money is directly influences who will benefit, and when more and more people aren't benefiting you get this thing called america and poverty

two: voluntary like government owned business, but the leaders are reelected? clever, but the rich will never give up their CEO titles. I think if we just tax the rich bastardos more then we won't need any of that, though

three: what's driving the rise to private auothrity? PRIVATE AUTHORITY!! (Rich people, and the stock market)

[Mark J]

I will try to answer your questions as best I can.

1-I used to think that although the shift of market forces now leans towards social causes. Market forces always look for new customers or lines of business, and the realization that opportunities in social causes now is prevalent. Globalization has changed the focus towards that direction.
2-I think so. Self-regulation is always better than government regulation as the bottom line is to protect costs. Many business now realize the benefit of trying to do both.
3-Self-Motivation many times serves as the best reason to anything. Granted not all business are in a place to do it, but the idea gains favor in business. As long as the bottom line benefit of profit is ensured, then a business will likely lean towards this direction.