Financial Planning Unit 4

General trends in government

• Government involvement has increased

• People’s attitude have change = more government involvement in business

Arson

The crime of intentionally setting a fire to property. Example: Jace and Geo were made because a restaurant kicked them out for being too loud. They returned after closing and set fire to the business.

Robbery

The crime of taking or attempting to take anything of value by force. Example: Rhonda’s jewelry was open for business when a masked gunman entered and proceeded to take all the jewelry from the display case.

Shoplifting

Theft of goods from a retail establishment (markets) during business hours. Key difference from robbery is they’re not taking it by force or too extreme measures. Example: A customer was trying on clothes at Selina’s Slacks Shop and put several pairs of pants in baggy jacket and left the store without paying for them.

Vandalism

Destruction, damage, or defacement of public or private property. Examples: graffiti, property damage. After the party, several students from the university found a can of paint during their walk home. They thought it would be funny to paint the front windows of several stores nearby.

Embezzlement

This is a crime where a person entrusted with another's money or property fraudulently appropriates or steals it for personal gain. Example: Sam works at Elite electronic and has been looking at Apple watches but is unable to afford one. One day, after he shows an Apple watch to a customer, he puts it in his pocket and takes it home.

Patents or copyrights

This is a way the government protects private property.

Taxes and borrowing

These are two main source of revenue used to pay the costs of government regulation.

Improving public welfare

Providing compensation to the unemployed and aid to dependent children are ways that the government intervenes in the economy.

Public goods

These are products or services that is available to everyone. These goods can be provided by the government. Examples: interstate highways/

Federal Trade Commission

This is a regulatory agency where the primary purpose to protect consumers from deceptive or unfair business practices and promote fair competition by preventing monopolies. Example: This agency is concerned with price fixing and unfair competitive prices.

Gramm Leach Biley Act

Requires financial institutions to explain their information-sharing practices to their customer and to safeguard sensitive customer data. Example: They protect consumer personal monetary information.

Point of sale fraud

Criminal exploiting physical or digital payment systems to steal card information or process unauthorized transactions. Example: employees undercharging their friends.