What you should have out…

• A copy of today’s guided notes

• Pen or pencil to write with

• Eyes on the slideshow

Meet Michelle…

My girlfriends and I wanted to look good for prom, so we bought some new cosmetics at the mall. Within a week we all developed the same rash

What could the government have done to protect Michelle and her friends?

Meet Diana…

My son was flipping through the local channels on Monday afternoon looking for cartoons but instead

found the best of Girls Gone Wild.

What could the government have done to prevent this from happening?

Meet Dawnette…

My father lived downwind from a rubber plant. After years of breathing in toxins he died at age 50

from lung cancer.

What could the government have done to prevent this from happening?

Regulation Regulatory Agency

A rule or a law. Government groups that make and enforce regulations.

Why Do We Regulate?

• Regulatory agencies exist to ensure the safety and welfare of citizens

• Much like a referee protects players and fans from rule breakers

Food and Drug Administration (FDA)

• Ensures the safety of consumers when purchasing food and drugs

Makes sure food and drugs are safe and labeled appropriately

Makes sure cosmetics are safe

Tests all new medicines before they enter the market

Federal Trade Commission (FTC)

• Makes sure that consumers are protected and being told the truth about the products they buy

Investigates complaints against companies and created the national “Do Not Call” list

Provides information on things like buying and selling cars, using credit, and identity theft

Federal Communication Commission (FCC)

• Regulates all communications by radio, television, cable, and satellite

Enforces regulations designed to ensure that content of programming is appropriate

Issues licenses for radio and television broadcast stations

Federal Aviation Administration (FAA)

• Regulates and oversee all aspects of airplane maintenance and flight

Writes airline safety regulations like requiring pilot rest breaks

Develops and operates air traffic control systems

Conducts research and development for airplanes

Environmental Protection Agency (FAA)

• Protects public health and the environment for future generations

Sets and enforces standards for fuel economy (miles per gallon)

Enforces standards for air and water quality

Controls and decreases air and water pollution

Recall

• When the government discovers that something being sold is harmful, it orders a recall.

• A recall is an order that a dangerous product no longer be sold, and that people who have the product should no longer use it.

Fast Facts • Toyota is the worlds largest automaker by sales.

• Fifth largest company in the world.

• 16% of cars on the road in the United States are Toyota.

Founded: 1937Headquarters: Toyota City, JapanRevenue: $208.995 BillionEmployees:316,121Popular Models:Camry, Corolla, PriusAssociated Brands: Scion, Lexus

CASE STUDY: • Since January, Toyota has recalled 9 million of

its cars because of a defect that causes them to speed up without warning.

• Sudden acceleration has led to at least 37 deaths in the Untied States.

• The recall has cost Toyota $2 billion in repairs and lost sales thus far.

CASE STUDY:

QuickTime™ and a decompressor

are needed to see this picture.

CASE STUDY: • The National Highway

Traffic Association (NHTSA) is the regulatory agency monitoring the recall

• Information obtained by NHTSA has led to a Congressional investigation

“I apologize from the bottom of my heart for all of the concern we have given our many customers”

Akio Toyoda, President

If federal investigations reveal that Toyota was aware their product was unsafe, the company

could face criminal charges.

Which Agency?

A new drug is approved for people suffering from the HIV virus.

Which Agency?

A new drug is approved for people suffering from the HIV virus.

Food and Drug Administration

Which Agency?

Two Delta airplanes collide midair as air-traffic controller mistakenly tells them to take off at the same time.

Which Agency?

Two Delta airplanes collide midair as air-traffic controller mistakenly tells them to take off at the same time.

Federal Aviation Administration

Which Agency?

Government requires that all cars get at least 24 miles per gallon of

gasoline.

Which Agency?

Government requires that all cars get at least 24 miles per gallon of

gasoline.

Environmental Protection Agency

Which Agency?

NBC is fined by the government when one of its actors on Saturday Night

Live accidently uses the “f-word” on live television.

Which Agency?

NBC is fined by the government when one of its actors on Saturday Night

Live accidently uses the “f-word” on live television.

Federal Communication Commission

Which Agency?

Government fines DuPont for dumping hydrochloric acid into county stream.

Which Agency?

Government fines DuPont for dumping hydrochloric acid into county stream.

Environmental Protection Agency

Which Agency?

Recall has been ordered for beef from cows that may have been infected

with Mad Cow Disease.

Which Agency?

Recall has been ordered for beef from cows that may have been infected

with Mad Cow Disease.

Food and Drug Administration

Which Agency?

People are tired of getting called by telemarketers, so they ask to be put on the government’s “do not call”

registry.

Which Agency?

People are tired of getting called by telemarketers, so they ask to be put on the government’s “do not call”

registry.

Federal Trade Commission

Which Agency?

Government requires Southwest and United Airlines to install locks on

their cockpit doors to prevent hijacking.

Which Agency?

Government requires Southwest and United Airlines to install locks on

their cockpit doors to prevent hijacking.

Federal Aviation Administration

HSA SAMPLE QUESTIONS

Which of these is a responsibility of the Food and Drug Administration (FDA)?

A. to manage the use of public airwavesB. to evaluate the contents of medicationsC. to review the safety of household appliancesD. to investigate the practices of financial firms

HSA SAMPLE QUESTIONS

Which of these is a responsibility of the Food and Drug Administration (FDA)?

A. to manage the use of public airwavesB. to evaluate the contents of medicationsC. to review the safety of household appliancesD. to investigate the practices of financial firms

HSA SAMPLE QUESTIONSThe Federal Trade Commission (FTC) requires that all

products labeled “Made in the USA” be “all or virtually all” made in the United States.

Which of these is the main reason for the above

requirement? A. to increase the advertising industry’s profitsB. to encourage more foreign importsC. to enforce truth-in-advertising standardsD. to lower the cost of manufactured goods

HSA SAMPLE QUESTIONSThe Federal Trade Commission (FTC) requires that all

products labeled “Made in the USA” be “all or virtually all” made in the United States.

Which of these is the main reason for the above

requirement? A. to increase the advertising industry’s profitsB. to encourage more foreign importsC. to enforce truth-in-advertising standardsD. to lower the cost of manufactured goods

HSA SAMPLE QUESTIONS

Which of these government agencies is directly responsible for monitoring business competition?

A. Federal Aviation Administration (FAA)B. Federal Communications Commission (FCC)C. Environmental Protection Agency (EPA)D. Federal Trade Commission (FTC)

HSA SAMPLE QUESTIONS

Which of these government agencies is directly responsible for monitoring business competition?

A. Federal Aviation Administration (FAA)B. Federal Communications Commission (FCC)C. Environmental Protection Agency (EPA)D. Federal Trade Commission (FTC)

HSA SAMPLE QUESTIONS

Which of these is a function of the Federal Aviation Administration (FAA)?

A. to issue airline ticketsB. to finance new airlinesC. to hire airline pilotsD. to regulate airline traffic

HSA SAMPLE QUESTIONS

Which of these is a function of the Federal Aviation Administration (FAA)?

A. to issue airline ticketsB. to finance new airlinesC. to hire airline pilotsD. to regulate airline traffic