Socioeconomic Requirements
Federal acquisition regulation does not promote social agenda in any way. This is because it requires the government organizations to evaluate the bids of their contract on the basis of the reliability and quality of implementing the contract. With these guidelines, it is only the wealthy businesses that are able to make contracts with the government organizations. This means that the small businesses have no chances of benefiting from the contracts made with the government agencies. The lower social classes in the states who own small businesses appear to be discriminated with this regulation.
The regulation helps to achieve the public policy agenda in that it ensures that any business transactions are carried out in an open way. These regulations ensure that the cheapest costs are incurred in government transactions and the best services are received by the government agencies. It ensures that the contracts entered into with government agencies are cheap and of the best quality (Franklin, 1996).
The buy American act is advantageous to the United States economy. It helps the industries in the United States to develop since trading with the government increases the profits of these firms. This gives them the courage to continue with their operations in the economy.
The act also helps to ensure national security. If the industries are able to provide all what is required by the government, then there is reduced dependence on foreign countries in supply of crucial commodities. This act also helps to protect the balance of payments of the United States in that it plays a role in reducing imports (Franklin, 1996).
Adhering to the rule however may make it challenging to obey the federal acquisition regulation. If the act is obeyed, the government may end up incurring more costs in acquisitions and the quality of the services and products purchased locally may not be the best (Franklin, 1996). Favoring government employees as required by the act also creates unfairness in making the contract. This shows that the two regulations may contradict in a way if implemented to the letter.
Reference.
Franklin, James and Gay, John, (1996) Buy America' Can Only Backfire, Defense
News, Volume 11, Number 30, pp. 37-38, July 29- August 4, 1996.
