What are the government actions to deal with an outbreak of influenza epidemic and pandemics? 

It would be hard for governments to deal with a pandemic
assuming that there is not a simple cure for the
disease.

Of course, the first thing to try would be
prevention.  We see governments today encouraging inoculation against swine flu.  With
enough advance warning, governments would want to make vaccines available to the
people.

If there is no vaccine, the next step might be to
close schools.  Schools tend to be a very good way to spread diseases and the government
would want to limit the speed of the spread.

I would think
that the government would also want to set up special facilities that could treat large
numbers of patients.  In a flu pandemic, having medical treatment (IVs and such) would
surely save lives even if the flu itself could not be cured.