Introduction

Read the overview below and complete the activities that follow.

Constitutional Rights

Constitutions serve two general functions. First, they set up the structure of government, allocating power among its various branches and subdivisions. Second, they prevent government from taking certain actions—especially actions that restrict individual or corporate rights. It is crucial for businesspeople to understand how the U.S. Constitution performs these functions and to consider how that performance affects the government regulation of business.

CONCEPT REVIEW:

This chapter examines certain constitutional provisions that are important to business, including the commerce, tax, and spending powers of Congress, and the free speech, due process, Equal Protection and Takings Clause of the Bill of Rights.

Comprehension Case

Read the text below and answer the questions.

The law prohibits all cigarette billboards and makes it illegal for cigarette ads to be posted in shopping malls, movie theaters, stadiums, and other public spaces frequented by minors.

1. What argument might tobacco companies make against the federal statute?