government intervention

Question 1

examples of the government blocking mergers

Answer 1

AT&T and T-Mobile: In 2011, AT&T attempted to acquire T-Mobile, but the deal was blocked by the Department of Justice and the Federal Communications Commission due to concerns that the merger would reduce competition and harm consumers.

Question 2

examples of the government using price caps

Answer 2

the mayors freeze on tfl journeys
or the energy price cap by the conservative government e.g. on bulb which caused them to dhut down due to the increase in energy prices

Question 3

examples of the government using profit regulation

Answer 3

current corp tax is 25%
Overall the Centrica group made a profit of £2.8bn after tax down from £3.3bn in 2022, a 17pc decline, the business said. The company paid £1.1bn in corporation tax and windfall levies

Question 4

examples of the government using deregulation

Answer 4

the housing market in 2008 which allowed for the sub prime mortgages

Question 5

examples of the government contracting out

Answer 5

Serco which handles the management and transportation of uk prisons, this is also an example of privatisation

Question 6

what is an example of a nationalised industry

Answer 6

network rail and the nhs which is also a monopsony employer

Question 7

what is an example of a privatised industry

Answer 7

the water industries like southern water.