Governments and institutions

Institutions are systems of norms which are meant to reach and achieve some goals or certain activities which people consider important to their lives. The social institutions assist in developing and creating the common values that every person must follow and respect accordingly (Taylor, 2013). Institutions assist in ensuring that they curb any possible occurrence of conflicts for the case of the armed forces between communities living together through a system of laws developed to stabilize any issue. Business organizations, bureaucratic systems, and the commercial banks are given the credibility of institutionalizing the process. Financial institutions are responsible for the financial activities which are related to stocks, bonds, loans, insurance, investment, hedging, management, and retirement planning including many other functions (Taylor, 2013). The financial institutions are involved in the transfer of funds to the economy and this plays an important role in the growth of the economy to both the local and international levels.

Governments have created an enabling environment where trade services can take place such as investing in infrastructure. Developing countries have allowed the financial institutions in their countries to provide loans and financial assistance to other sectors of the economy for growth. Offering cheap exchange rates to the financial institutions has created a pool of resources for institutions to provide developers with funds to set up businesses and other economy-building ideologies. Developing countries have doubled the number of armed forces as a way of keeping peace and allowing a country to be free from external and internal conflicts (Johnson, 2015). The armed forces have been equipped with the best gears to fight the enemy and secure the country. Strengthening the armed forces through offering cover for their families and also themselves is a good way of making it a successful institution. Using the latest technology in the development of the armed forces is a good strategy for success.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

References

Johnson, J. A. (2015). Role of the Military in Underdeveloped Countries. Princeton University Press.

Taylor, J. B. (2013). Getting off track: How government actions and interventions caused, prolonged, and worsened the financial crisis. Hoover Press.