GOVERNMENT INTERVENTION

Government Intervention

Government Intervention

The state should intervene in the economy to allocate resources efficiently, whether in greater or lesser degree, depending on the philosophy and objectives of the current government.

State intervention in the economy, is very necessary, something that has been tested with the international financial crisis. It was mainly due to the poor state regulatory intervention in the financial sector.

Depending on the objectives of a government, the state must intervene in many ways, so the economy could achieve the purpose intended. The intervention can be from simple to complex control, or more direct intervention in the behavior of ...