How do government policies and/or regulations factor into changes in economic ac

Question

How do government policies and/or regulations factor into changes in economic activity on both a domestic and global scale? •Give a specific example of a policy or regulation that has helped economic activity. •Give a specific example of a policy or regulation that has hindered economic activity. •If you were an economist who was tasked with evaluating this policy or regulation, what are some ideas you would suggest for changing it in a way that would achieve the same goal but not hinder economic activity? •Finally, state whether or not you enjoy these types of evaluations and if you would consider these types of responsibilities in a future career.

Explanation / Answer

Government plays the most crucial role in implementation and regulation of policy decisions .The policies have both advantage and disadvantages to themself .Usually implementing a policy to have an economic impact such as growth and development .Policies such as trade ease like FDI FII's are to invite investment and money inside the economy to boost its funtioning and have more investors putting money inside the economy .However inward policies like trade protectionism can have negative impacts like too much import restriction and high tarifffs may not allow the country to grow and allow domestic producers to have monopoly pricing .Economist have to understand the impact of such policy implementations , it is important to use the right policy tool depending upon the need and economic condition of the country .However , stability in policy decision is hard to achieve because there is global market integration which leads to constant fluctuation and volatility. Therefore , right policy decisions are responsible of impacting the growth and economic activity of a country.

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.