The purpose of government regulation in a mixed-market economy is to protect corporate rights.


A mixed-market economy is a type of economy where the factors of production are controlled by both the formal authorities and the private market. It is safe to say that each and every of the developed and developing countries in the world is a mixed economy to a certain extent with varying ratios of governmental vs private control.

Thus, the interests of the government need to be aligned with those of independent producers to serve a common goal. This type of economy implies that the government takes an effort to ensure both customers’ and producers’ rights and freedoms, which is possible through corporate rights protection. For example, government regulation is intended to protect heavy industries, the military, and public utility services, which cannot be delegated to public institutions.

Mixed-market economy graphics.
Source: http://aicd.companydirectors.com.au