The correct option is (c) 1 and 3 only.
Explanation
In a welfare state, the government plays a multifaceted role in the economy. It acts not only as a regulator to ensure fair practices and social justice but also as a provider of essential services. The Directive Principles of State Policy (DPSP) in the Indian Constitution mandate the State to secure a social order for the promotion of the welfare of the people.
Statement-wise Analysis:
- Statement 1 is Correct: The government plays a central role in regulating economic activities. It enacts and enforces laws to control market behaviors, prevent monopolies, ensure fair competition, and protect consumer rights (e.g., The Competition Act, Essential Commodities Act).
- Statement 2 is Incorrect: The government has a significant role in enforcing laws concerning working conditions, even in private factories. Under Article 42 (DPSP), the State is directed to make provisions for just and humane conditions of work. Legislations like the Factories Act, 1948, and the Minimum Wages Act apply to private enterprises to ensure worker safety and fair treatment.
- Statement 3 is Correct: Ensuring the availability of public facilities-such as water, healthcare, sanitation, electricity, and public transport-is a primary responsibility of the government. This aligns with the objective of the welfare state to provide a basic standard of living to all citizens, irrespective of their ability to pay market prices.
Key Takeaway:
The government functions as both a regulator of private enterprise (to prevent exploitation) and a provider of public goods (to ensure equity) within the economy.