FIGURE6 It is a responsibility of governments to provide hospitals and health services.
SkillBuilder discussion Investigating 1. Now that you have a sense of what the government does, discuss how important the government is. Do we need a government to provide us with goods and services? 2. Do you know of any countries where the government doesn’t provide goods and services? Or do you know of any countries where the government provides most things?
21.3.7
Planning and the environment
State governments and local councils have powers to control the type of buildings and other developments that are built within their borders. Governments establish building standards to ensure that all buildings are structurally sound, and not likely to fall down or cause a hazard in any other way. Anyone wishing to build a house or other structure on vacant land must gain building approval. This is to ensure that the building conforms with certain standards. Councils and the state government can also determine whether or not a particular type of building is appropriate in a particular area. For example, it would usually be considered inappropriate to build a large factory in the middle of a residential area. Since the early 1970s, state governments have also
FIGURE7 Governments have introduced laws to prevent businesses from polluting the environment.
introduced laws to protect the environment. These place restrictions on both businesses and individuals in relation to what they can release into the atmosphere and waterways. These laws can affect markets because they can increase costs for some businesses. For example, businesses that may once have released waste material into a creek, river or drain now have to dispose of it in an environmentally responsible manner. Smoke and fumes have to be properly filtered before being released into the atmosphere. Motor vehicles have emission controls to limit the levels of harmful chemicals in exhaust fumes. Environmental laws have also created new business opportunities, with waste management and recycling businesses providing services for a variety of different customers. As with most government involvement in the economy, while some businesses may appear to be disadvantaged, opportunities are often created for new and different businesses to grow.
TOPIC21 Understanding tax and consumer literacy 607
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