What Are the Arguments for and Against Intervention?

Topics: Global warming, Government, Intervention Pages: 3 (716 words) Published: May 1, 2012

Government intervention takes many forms in numerous different situations. They range from taxation, regulation and legislation to providing child welfare, housing and other financial assistance programs to the people that it governs.

Reasons for government intervention may include citizen protection, promoting social responsibility or paternalism, which happens when government attempts to manage the needs or control the conduct of individuals.

Government intervention has its price, not only the financial costs of the intervention, but may include losses of individual freedoms and unintended consequences.

This question will examine numerous areas in which the Government intervenes in and evaluate whether it does so in a positive or negative way. A conclusion will then be made to decide whether government intervention is an advantage or a disadvantage as a whole.


One of the major areas in which the government intervenes is in business, for example by creating a minimum wage for all workers.

This means that no matter the job and responsibilities, a worker must be paid at least a certain wage for the labour they provide to a company.

This can be considered to be an advantage of government intervention as it determines that anything lower than the minimum wage is not enough for a person to live on

This is an also an advantage as the minimum wage also forbids workers from selling their labour at a lower rate, meaning that people cannot out-price the competition in terms of employability.


One of the major areas in which the government intervenes is in banking, for example helping economic downturn lessen or stop completely through the use of bailouts.

This means that many old standing businesses will remain thanks to tax incentives, with examples including Northern Rock and Bradford and Bingley.

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