The Social

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The Social Political Environment of
BusinessBA 107 Discussion Section Week 10
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Agenda

• US political system
• Political strategies
• High Tech in CA
• Issues/Regulations
• TechNet
• Semester Check

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The US Political System
Executive Branch
Enforces laws (e.g., writes regulation, inspects
compliance, manages implementation)
Legislative Branch
Judicial Branch
Makes laws
Interprets laws
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Political Strategies

• Purpose
• To influence policy to favor some position
• Targets of influence
• Judiciary (e.g., filing lawsuits)
• Executive (e.g, regulations)
• Legislature (e.g., laws)
• Political activity options
• Lobbying and testimony
• Electoral politics (campaign contributions)
• Grassroots campaigns

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Lobbying and Testimony

• Aim
• To influence decision makers (e.g. regulators,
  legislators) with information
• Methods
• Formal Testimony in hearings
• Informal Lobbying in meetings, wining dining
• Strategy
• Who to target (leg/exec? State/fed? Which
  indivs)
• Who should lobby (executives, specialist
  lobbyists)

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Electoral Politics (Campaign Contributions)

• Aim
• To influence policy by providing campaign
  resources to elected officials
• NOT about bribes or personal income for
  policymakers
• Targets
• Legislators (Congress, state)
• Elected executives (president, state governor)
• Local officials
• Methods
• Monetary donations (hard soft money)
• Other campaign contributions (labor, hosting)

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Grassroots Campaigns

• Aim
• To influence/organize voters to influence
  politicians
• Target
• Direct target citizens
• Indirect targets fed/state/local legislators,
  elected executives
• Methods
• Writing letters to constituents
• Advertising in media
• Protests in Washington DC or state capitals (e.g.
  employees, communities, consumers,
  environmentalists)
• Sponsoring grassroots organizations (e.g. ATT
  sponsorship of NY Consumers for Economic
  Competition)

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Summary
Executive

• Lobbying
• Electoral
• Grassroots

Legislative
Judicial
Executive
Legislative
Judicial
Executive
Legislative
Judicial
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High Tech in California

• What are the key issues facing the high tech
  community in California?

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CA High Tech Key Issues

• Regional Draw (for talent, money, ideas)
• Relationships between Academia and Industry
• Competitiveness
• National Economy and Trade
• High Costs
• Taxes
• Regulation
• Why does government regulate?
• What are the problems/benefits of over-regulation

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Rationales for regulation

• Market Failures
• Public goods
• Externalities
• Monopoly
• Asymmetric information
• Business cycles
• Regulatory Capture
• Social objectives (e.g., redistribution,
  cross-subsidization)

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High Tech in CA TechNet

• TechNet
• What is TechNet?
• What specific issues does TechNet face in CA?