A. What is the cost/benefit approach that a typical economist takes to analyze regulations?
b. What are the goals of taxation?
c. How are economic policies impacted by politics, and how politics make a positive or a negative contribution to economic policy? Please give an example.
d. How does antitrust policy and regulation affect economic welfare?
Please give examples.© BrainMass Inc. brainmass.com June 3, 2020, 10:24 pm ad1c9bdddf
The response addresses the queries posted in 729 words with references.
// Before writing about 'Cost Benefit Approach' for Regulations, we have to first describe what is 'Cost Benefit Analysis'. Then, we have to explain the benefits of adopting this approach, for the proper regulation. Due to limitations of space, we would keep this short.//
Regulation and Economic Policies
Cost Benefit Approach for Regulations
Cost benefit analysis refers to the analytical tool, which is used for making estimation of the net economic value of a specified policy or procedure. It assists in analyzing the costs and benefits involved in a specified policy in monetary terms. It also considers the demand supply equilibrium of the market as per the economics. This approach assists in analyzing the quality of the rules and regulations as well as their significance for the society. It helps in analyzing the alterations in the social well being due to the infliction of the proposed regulations in the society (Layard & Glaister, 1994).
With the assistance of cost benefit approach, a regulator can evaluate the trade offs and can develop standards for the costly regulations. It makes the selection process of relevant regulations effective and efficient. It incorporates equity considerations in the analysis of a proposed policy or procedure. It also makes the validation and judgment procedure for the policymakers focused towards the standardized objectives and practical applications (Cowen & Mason, 1998).
// Above we discussed the use of adopting Cost Benefit Approach for regulations. Moving on now, we'll discuss the various goals of Taxation.//
Goals of Taxation
Taxation plays an important role in improving the ...
The response addresses the queries posted in 729 words with references