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2. Distributive policy: This policy allows the government to provide public goods
or services to all in the nation with the help of public fund. In general, citizens do
not complain about it, for it is related to equal opportunity. One specific point we
must remember is that distributive policy does not create competition for the goods
and services. Traditionally, government owns the property under this policy.
Examples
Highways: Government built it by using our tax money. All classes of citizens
are free to use it.
Public schools: Kids from every class are accepted by public schools.
3. Regulatory Policy: Without it, the nation itself falls prey to corruption.
Regulatory policies prescribe do's and don'ts for different groups to prevent
individuals from becoming their victims. It tends to create losers and winners by
allowing one group to enjoy more freedom than the other. Although regulatory
policies tend to garner a lot of criticisms, at the end of the day, they do compel
certain groups to behave and maintain qualities.
Examples:
Prohibition of drunk driving: This is done to keep roads free of fatal accidents
4. Redistributive policy: This is by far the trickiest of all policies. Its job is to
transfer one group's tax fund to another group with the aim to eradicate social
issues such as poverty for the sake of equality. Realistically, however, this is not
always the case. Redistributive policies has been used many times to favor the rich
over the poor. Sometimes the policy does not have much to do with allocation of
finance. In fact, it can be used to even enhance the power of one group over the
other. That is why, redistributive policies have always been most controversial.
Examples:
Low income housing: Our tax money goes in funding rentals of the
underprivileged or section 8 people.