Business American Legal System & Business Environment

ASU Business American Legal System & Business Environment Questions

Summer 2023 Final Exam

Short Answer: Choose 10 questions from the list below (5 points each) 

1. What role did the American legal system play in creating a successful business environment in the United States?

2. Using an example from the course, what event led to the dramatic increase of government intervention in the United States? Why?

3. For what specific program(s) does the government tax paychecks? Use an example from class.

4. Describe an example of monopolistic companies or practices today. Why is this practice anti-competitive?

5. Describe the system of corporate governance in the US. Who holds power in theory and who holds the power in practice?

6. What is the purpose of corporate public affairs programs? Why are they more common today?

7. What unique problem makes formal corporate governance necessary?

8. According to the course, which industries are most likely to be targeted for generous industrial policies? Why?

9. Why does imposing tariffs frequently backfire in a globalized economy? What tends to be the global response to aggressive tariffs?

10. Describe how tax incentives promote better planning for the financial realities of old age. What actions should individuals take to plan for their future utilizing these incentives?

11. According to the course, why do Americans pay an average of 5000 dollars more each year than they should in a competitive free market?

 12. Once Congress passes a bill and the President signs it into law, how can the law be influenced by other actors in the political system? Who are these influential people/institutions?

Long Answer: Choose 5 questions from the list below (10 points each) (Recommended: 5-8 sentences)

 1. Describe the power imbalance between workers and their employers? What are some of the government policies and agencies used to counteract this power? How does government protect workers from the power of business?

2. Is lobbying an inherently bad thing? What resources do businesses have when they try to lobby government? What resources do citizens have when they lobby government? Why are some people critical of the current system?

3. How is globalization today different from past eras? Why is the current form of globalization especially susceptible to bottlenecks and shortages?

4. Why do companies align their brand with political messages? What are the potential costs and benefits to corporations becoming political? Give an example.

5. What are some shortcomings of the current system of corporate governance? Describe a major corporate scandal and analyze how the corporate governance system failed to prevent the issue.

6. Are government deficits an inherently bad thing? What is the argument for running deficits? What government power (and policy area) makes them different from businesses or households when they take on debt?

7. Assess the Inflation Reduction Act (2022) and its impacts on a specific business or industry. What is the intent of the law? Do you believe it will achieve its goal? Did lobbying dramatically impact this portion of the law?