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MGM102 Lecture Chapter 6- Role of Government.docx

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Dave Swanston

thFebruary 28 2014Lecture Notes Chapter 6 Role of GovernmentRole of Government How can Government affect the business environmentCrown corporationsPrivate crown corporations act in their own best interestProvincial crown corporations ensure that there is a different set of priorities being set in place in order for there to be high quality and best cost gsCrown corporations may not be very well run because they are using public funds are not held responsible etcMarketing BoardsoMarketing boards control the supply or pricing of certain agricultural products oTreated all producers as one organization in order to negotiate better prices and better conditions and made it more lucrative for small farmers to maintain their businessoCanadian Wheat Board Debate Changed in August 2012 to open up competition in the wheat industry Farmers ad to sell products within the Canadian wheat board and could not sell to consumer directlyPlaced restrictions on how much farmers could produce so there would be no supplyFederal government changed the Canadian wheat board so farms could decide whether they wanted to be part of it or not and whether they want to sell produce to consumers directlyMore
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