The United States economy is a complicated, yet integral part to both the nation’s survival and the world. The shape of the U.S. economy, along with its views on monetary policies and monopolies, has helped craft a successful and booming global marketplace. The economy of the U.S. is one of the most influential in the entire world. The economic market is fairly lenient, allowing a mix of larger businesses and smaller, private ones to make independent decisions. This type of economy is known as an open market, and poses certain dangers as well as benefits. Poor choices in this market led many large corporations towards bankruptcy, and government regulations have been instated to guard against further economic downturn. At the same time, many small businesses have been able to survive and profit despite large competition. Though the U.S. economy has suffered, it still remains one of the most profitable and least regulated in the world.
The monetary policy of the United States is upheld y the federal government. It governs certain aspects of the economic market, such as money reserves and requirements, along with certain market regulations and operations. The government has the ability, thanks to the monetary policy, to sometimes intervene in the open market in order to (hopefully) positively benefit the economy. Decisions and actions of the U.S. monetary policy rest in the Federal Reserve, which is responsible for the general money supply in the U.S.
In many ways, the policies surrounding the U.S. economy have contributed to problems with monopolies. A monopoly exists when only one business, corporation or other company is the sole provider of a service or good. This creates a problem, in that the monopoly is the only source for this product, and has complete control over distribution and pricing. This can lead to overpricing and limited supply. Monopolies in the U.S. are illegal. Due to regulations like the Competition Law, companies are closely monitored to ensure they are not employing abusive monopolistic practices.