Final answer:
An agency requires legal authority, personnel, and financial resources for regulation. Deregulation can foster innovation but may reduce safety. Agencies like the FCC and SEC impact everyday life by enforcing fair practices.
Step-by-step explanation:
An agency needs legal authority, skilled personnel, and financial resources to perform its regulatory role. The pros and cons of deregulation involve a range of factors. Pros include increased industry competition, which can lead to lower prices and innovation. Cons may involve reduced consumer protection, potentially higher risks, and the loss of a public accountability mechanism.
The Independent Regulatory Agencies, such as the Federal Communications Commission (FCC) and the Securities and Exchange Commission (SEC), have significant autonomy and power in their respective fields, influencing daily life by ensuring fair trading and communications practices. Government Corporations, like the United States Postal Service, provide vital services and are self-sustaining.
Deregulation can lead to both positive outcomes such as innovation and negative ones like diminished service quality or safety. For example, airline deregulation has enabled more competition and lower fares but has also raised concerns about overcrowding, reduced service to small markets, and labor issues.