Skip to main content icon/video/no-internet

Department of Commerce

Department of the cabinet that is responsible for foreign and domestic commerce; mining, manufacturing, shipping, and fishery industries; labor interests; and transportation. It was created on March 4, 1913, after a law separated the Department of Commerce and Labor.

Expansion of the Department

During Herbert Hoover's seven-year tenure as secretary during the 1920s, the Department of Commerce acquired several organizations, and their respective responsibilities, from other departments. These organizations included a Building and Housing Division (1922), the Bureau of Mines and the Patent Office(1925), an Aeronautics Division (1926), and a Radio Division (1927). Until the Department of Transportation was established in 1967, Commerce was also the principal overseer of national transportation programs. The Department of Commerce now shares responsibilities in international economics with special presidential advisers, the Department of the Treasury, and the Office of the U.S. Trade Representative.

Functions

The Department of Commerce is organized according to the following functions.

Trade

The International Trade Administration (ITA) helps formulate foreign trade and economic policies, works with the U.S. Trade Representative and other agencies, and administers legislation to counter unfair foreign trade practices. Also included in the function of trade is the Bureau of Export Administration. This bureau formulates U.S. policy for the control of high-technology exports and monitors such exports.

In the category of tourism, there is the U.S. Travel and Tourism Administration (USTTA) that replaced the U.S. Travel Service in accordance with the National Tourism Policy Act of 1981. The U.S. Travel Service was originally established in 1961 to address a $1.2 billion balance-of-payments deficit in tourism.

Science and Technology

The Commerce Department's science and technology organizations are expected to use, or promote the development of, science and technology in order to improve Americans' quality of life. These organizations include the National Oceanic and Atmospheric Administration (NOAA), which monitors and predicts the weather, charts the seas and the skies, protects ocean resources, and collects data on the oceans, atmosphere, space, and sun. The Office of Technology Administration helps U.S. businesses become more competitive overseas by fostering government and private partnerships to encourage the development and spread of innovative technologies.

The National Institute of Standards and Technology is charged with custody, comparison, and, establishment of standards. The agency also has a growing role in the development of advanced technology, such as factories that produce corn-based plastic and stem cells that can repair diseased hearts.

Finally, The National Telecommunications and Information Administration's mandate is to develop policies on the advancement and use of new technologies in common carrier, telephone, broadcast, and satellite communications systems. Another part of the Department of Commerce, the Patent Office, began registering trademarks in 1870. In 1975, the agency's name was changed to the Patent and Trademark Office.

  • Department of Commerce
  • Loading...
locked icon

Sign in to access this content

Get a 30 day FREE TRIAL

  • Watch videos from a variety of sources bringing classroom topics to life
  • Read modern, diverse business cases
  • Explore hundreds of books and reference titles

Sage Recommends

We found other relevant content for you on other Sage platforms.

Loading