Reference no: EM133202960

Assignment:

Introduction

Although it is generally agreed that there is a role for the government in our national economy, there is considerable disagreement over what areas the government should be responsible for and how far the government should go in these areas. Some people feel that "big government" is a problem, that the government is doing too much. Others believe that the government sector of the economy is being starved and that the government should be allowed to do more. What the appropriate role is for government is a basic question, and one that involves a great deal more than economics.

Conservative View

In general, conservatives believe that the government's role should be severely limited. They feel that economic and political freedom is likely to be undermined by excessive reliance on government. Moreover, they tend to question the government's ability to solve social and economic problems. They believe that faith in the government's power to solve these problems is unreasonable. They point to the slowness of the government bureaucracy, the difficulty in controlling huge government organizations, the problems political considerations can breed, and the difficulties in telling whether government programs are successful or not.

On the basis of these considerations, they argue that the government's role should be carefully limited.

Liberal View

While conservatives question the government's ability to solve important social and economic problems, liberals, on the other hand, tend to question the market's ability to solve these problems. They point to the important limitations of the market system, and they claim that the government can do a great deal to overcome these limitations. Government can regulate private economic activity. It can also provide goods and services that the private businesses produce too little of. Liberals tend to be less concerned than conservatives about the effects on personal freedom of greater governmental intervention in the economy.

Adapted from: Edwin Mansfield and Nariman Behravesh. Economics USA, New York: W.W. Norton, 1992, pp. 592594.

Question to consider:

What is your view of the government's role in the economy? Do you think the government does more harm or more good in our society?

Carefully read the sources. Then synthesize material from at least two of the sources, your knowledge of Economics and the material we have studied from the book and incorporate it into a coherent, well-written essay in which you develop your position on what the government's role in the economy should be.

In your response you should do the following:

? Respond to the prompt with a thesis that establishes a clear stance on the role of government in the economy.

? Provide evidence from at least 2 of the provided sources to support your thesis. Indicate clearly the sources used through direct quotation, paraphrase, or summary. Sources may be cited as Source A, Source B, etc., or by using the description in parentheses.

? Explain the relationship between the evidence and your thesis.

? Use appropriate grammar and punctuation in communicating your argument.