TABLE OF CONTENTS After studying this chapter, students should be able to describe:
the meaning of the term state ;
the composition of the British state at national level;
the structure and responsibilities of devolved and local government;
the evolution and objectives of the European Union (EU);
the institutions of the EU.
The actions and policies of political institutions have a profound effect on the way in which businesses operate. All businesses must act within legal and regulatory conditions which are set by the state in which the business is located.
Each autonomous region of the world is comprised of a state. The various parts of the state set out the conditions in which both its citizens and businesses exist. Hence, to be a part of the state system carries with it certain privileges (or rights) and responsibilities.
The privileges available to members of a state include access to the goods and services that the state provides. For example, we expect to benefit from:
national security (ensured by the state s provision of armed forces and a nuclear deterrent);
health provisions (hospitals, etc.);
educational establishments (schools and universities);
law and order (police and the judiciary);
good...
