'Governements Use Fiscal Policy to Help Them Achieve Their Macroeconomic Objectives' Explain What Is Meant by This Statement and Discuss Specific Fiscal Measures That the Uk Government Has Implemented in Recent Years to
Essay
Economy, Society and the Built Environment
‘Governments use fiscal policy to help them to achieve their macroeconomic objectives’
Explain what is meant by this statement and discuss specific fiscal measures that the UK government has implemented in recent years to influence economic activity in the built environment.
Definitions:
FISCAL POLICY: “A combination of government spending and taxation used to achieve macroeconomic management. (The flow of government money in and out of the treasury.)” (Danny Myers, 2006, pgs 75&126)
MACROECONOMIC OBJECTIVES: “Targets relating to the whole economy, such as employment, price, stability and the balance of payments.” (Danny Myers, 2006, pg128)
The Governments Macroeconomic (nations economy) objectives:
1. Low inflation/stable prices
2. Sustained economic growth
3. Low unemployment
4. Balance of payments between imports and exports (keeping money within the country as well as spending abroad
5. Environmental protection
6. Redistribution of income and wealth to poor
RECENT YEARS: The fiscal measures looked at in this essay will be taken from 1990 onwards.
ECONOMIC ACTIVITY: “The production and distribution of goods and services at all levels.” (Wall Street Words, David L. Scott. 2003)
THE BUILT ENVIRONMENT: “The built environment is made up of various types of property (residential, commercial, industrial etc); linked by infrastructure (sewers, canals, roads, tunnels etc) and separated by spaces in between (parks, woods, playing fields, landscaped areas, squares etc)”. (Danny Myers, 2006, pg6)
AGGREGATE DEMAND: “All planned expenditures for the entire economy summed together.” (Danny Myers, 2006, pg123)
• By influencing Government taxation and expenditure, aggregate demand can be stimulated to achieve Macroeconomic objectives such as; price stability, full employment and economic growth.
• It is the total demand for goods and services in an economy.???
EXPANSIONARY FISCAL
Economy, Society and the Built Environment
‘Governments use fiscal policy to help them to achieve their macroeconomic objectives’
Explain what is meant by this statement and discuss specific fiscal measures that the UK government has implemented in recent years to influence economic activity in the built environment.
Definitions:
FISCAL POLICY: “A combination of government spending and taxation used to achieve macroeconomic management. (The flow of government money in and out of the treasury.)” (Danny Myers, 2006, pgs 75&126)
MACROECONOMIC OBJECTIVES: “Targets relating to the whole economy, such as employment, price, stability and the balance of payments.” (Danny Myers, 2006, pg128)
The Governments Macroeconomic (nations economy) objectives:
1. Low inflation/stable prices
2. Sustained economic growth
3. Low unemployment
4. Balance of payments between imports and exports (keeping money within the country as well as spending abroad
5. Environmental protection
6. Redistribution of income and wealth to poor
RECENT YEARS: The fiscal measures looked at in this essay will be taken from 1990 onwards.
ECONOMIC ACTIVITY: “The production and distribution of goods and services at all levels.” (Wall Street Words, David L. Scott. 2003)
THE BUILT ENVIRONMENT: “The built environment is made up of various types of property (residential, commercial, industrial etc); linked by infrastructure (sewers, canals, roads, tunnels etc) and separated by spaces in between (parks, woods, playing fields, landscaped areas, squares etc)”. (Danny Myers, 2006, pg6)
AGGREGATE DEMAND: “All planned expenditures for the entire economy summed together.” (Danny Myers, 2006, pg123)
• By influencing Government taxation and expenditure, aggregate demand can be stimulated to achieve Macroeconomic objectives such as; price stability, full employment and economic growth.
• It is the total demand for goods and services in an economy.???
EXPANSIONARY FISCAL