Does government policies affect economic - page 2.

Callido

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Quote from: Dzwaafu11 on January 28, 2025, 08:56:06 AM

Quote from: Callido on January 27, 2025, 05:00:19 PM

The government we see are the economy themselves, when a bad government is on power then expect the economy to be in shackles. A good government implies a better economy same goes to when those holding power are faulty, everything begins to fail, inflation, cost of goods and services even for the one's manufactured locally inside the country.

Exactly. When a bad government comes in, the economy of that country becomes bad because they won’t care how the economy is going, whether it is favouring the poor or not; their own is just to fill their pocket and move on. Although some things will actually change whether the government is good or the other way, because some decisions only favour the poor and affect the rich, while the same decisions affect the rich, when it comes to things like this, seriously, you are right. It depends on the government that is ruling at that moment.

Bad government sometimes do not matter if you are wealthy or not, as long it is affecting the economy in general then even the rich and wealthy will be facing same recession, the difference will be that wealthy do have enough to survive on while the middle class people or poor will have to struggle more to survive.

Quote from: DaNNy001 on January 28, 2025, 11:11:09 AM

Quote from: hyudien on January 28, 2025, 10:22:17 AM

The continuity between the Government and Investors lies in operational licensing. When a country government makes it too difficult for investors to enter, the country will experience less economic growth. Investors who have well known brands will find it easier to enter when taxes are low and regulations are light. However for the government it is not beneficial for them because taxes are the main income. As a result this lack of synchronicity creates a bad relationship for Investors.

Having friendly policies alone doesn't cut it when it comes to luring investor and huge companies that would make your economy and finance boom, I believe there are many other factors like the country security and other factors that influence investors to make investment and build companies and businesses that would benefit both parties but to a very large scale I believe the policies the country is having is what either draws or chase them in respect of tax payment and other revenue development.

Security is one major problem, both internal and external conflict can hinder investors from building a company or the stock and share investors to get involved. Example like ongoing war between Russia and Ukraine, companies operating in this countries will have to shut down because they lack better security and will only cause damages if they continue.

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Quote from: hyudien on January 28, 2025, 10:22:17 AM

The continuity between the Government and Investors lies in operational licensing. When a country government makes it too difficult for investors to enter, the country will experience less economic growth. Investors who have well known brands will find it easier to enter when taxes are low and regulations are light. However for the government it is not beneficial for them because taxes are the main income. As a result this lack of synchronicity creates a bad relationship for Investors.

Having friendly policies alone doesn't cut it when it comes to luring investor and huge companies that would make your economy and finance boom, I believe there are many other factors like the country security and other factors that influence investors to make investment and build companies and businesses that would benefit both parties but to a very large scale I believe the policies the country is having is what either draws or chase them in respect of tax payment and other revenue development.

hyudien

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Quote from: ? on January 26, 2025, 07:08:22 PM

In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in,so for economic market to be in equilibrium they must be a mutual understanding between government and the investors.

The continuity between the Government and Investors lies in operational licensing. When a country government makes it too difficult for investors to enter, the country will experience less economic growth. Investors who have well known brands will find it easier to enter when taxes are low and regulations are light. However for the government it is not beneficial for them because taxes are the main income. As a result this lack of synchronicity creates a bad relationship for Investors.

Dzwaafu11

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Quote from: Callido on January 27, 2025, 05:00:19 PM

The government we see are the economy themselves, when a bad government is on power then expect the economy to be in shackles. A good government implies a better economy same goes to when those holding power are faulty, everything begins to fail, inflation, cost of goods and services even for the one's manufactured locally inside the country.

Exactly. When a bad government comes in, the economy of that country becomes bad because they won’t care how the economy is going, whether it is favouring the poor or not; their own is just to fill their pocket and move on. Although some things will actually change whether the government is good or the other way, because some decisions only favour the poor and affect the rich, while the same decisions affect the rich, when it comes to things like this, seriously, you are right. It depends on the government that is ruling at that moment.

Quote from: uneng on January 27, 2025, 12:28:02 PM

Governments' policies will attract or dispel investors, accordingly to its practical impacts over the investors' personal interests.

For an example, a government implementing harsh and abusive taxes will face a mass exit of investors from the country. The same is valid for dictatorships, where there isn't juridical stability, so investors feel fearful and uncertain about the next movements of the government and end cashing out their funds from the country to more friendly ones.

The government's decisions impact all of us in our daily lives and our daily choices also impact the government. The problem is that nowadays we don't work cooperatively anymore. The government treats the citizens unfriendly, and the citizens treat the government as an enemy.

That's why everything you want to do research on, you need to study it very well. As an investor, doing research is very important before investing in something; you need to make sure that what you are investing in won’t be something you will later regret.

However, taxes should not be the reason why an investor will withdraw his money from a country where he already invested, because even before the investment those taxes were there, so the investor should not only look at what the government is currently doing but also what the plan is in the future; that is what matters, not the current situation of a place, though it depends on the investment.

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Quote from: uneng on January 27, 2025, 12:28:02 PM

Governments' policies will attract or dispel investors, accordingly to its practical impacts over the investors' personal interests.

For an example, a government implementing harsh and abusive taxes will face a mass exit of investors from the country. The same is valid for dictatorships, where there isn't juridical stability, so investors feel fearful and uncertain about the next movements of the government and end cashing out their funds from the country to more friendly ones.

The government's decisions impact all of us in our daily lives and our daily choices also impact the government. The problem is that nowadays we don't work cooperatively anymore. The government treats the citizens unfriendly, and the citizens treat the government as an enemy.

To be fair, an investor who cares about his money, would invest his money in a government that they know would do the best for their investment, plus could go a long way. I mean just because it's a good government for your money, doesn't mean you should invest billions right away, what if they lose four years later, your investment would be worthless, or at least could be.

This is why not only you need investment at a strong government, but also one that would be decent after many years. Investing in the USA isn't bad, they do change hand between political parties, but rarely make it bad for them on the long run. This is why it's quite important to remember that you are going to end up wit ha good result one way or another if you invest there.

Callido

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The government we see are the economy themselves, when a bad government is on power then expect the economy to be in shackles. A good government implies a better economy same goes to when those holding power are faulty, everything begins to fail, inflation, cost of goods and services even for the one's manufactured locally inside the country.

When we talk about government policies affecting the economy, within the bad government, there are certain actions that leads to severe outcomes most especially conflicts and corruption, that involves life threats, thieves and fear of insecurity, even people with money who are to establish factories will be afraid to do so because they fear for properties and investment not to be affected.

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Quote from: ? on January 26, 2025, 07:08:22 PM

Government should been able to go through a feasibility study before they implement any policies because in most cases government policies is what that’s causes paradigm shifts in the economic system.In a developed clime or society,economic sector is what government place more premium on,so as such they need to pay attention to economic system and its market,get close to the investors by making enquiry about the major challenges they normally face,and the methodology that they apply to resolve the issues.On that note,i think the government will know where they can come in with their policies so as to help strengthen the economy system of that country rather than imposing it on them. In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in,so for economic market to be in equilibrium they must be a mutual understanding between government and the investors.

The correct question is which one leads the other: does politics lead the economy or does the economy lead politics? Or is the influence reciprocal and does one interact with the other's developments?

It can be said that politics greatly affects the economy, and that governments and political institutions determine the policies, procedures, strategies and plans they take to achieve their economic goals, and therefore it can be said that politics governs the economy.
On the other hand, the economy affects political decisions to varying degrees; as economic events, changes in the labor market, trade and inflation rates affect government decisions and political institutions. Thus, it can be said that the economy leads politics.

In my personal opinion, the matter depends on local, regional and global circumstances and contexts, and it cannot be asserted that politics governs the economy or that the economy governs politics in all cases.

alastantiger

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Quote from: ? on January 26, 2025, 07:08:22 PM

In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in,so for economic market to be in equilibrium they must be a mutual understanding between government and the investors.

Government policies are the biggest influence on the economy because when the government have a good policy, it'll attract investors to come into the country for investment but when the policy aren't favourable to the foreign investors, you won't get any investors coming into the country. The policy that the federal government pass should be those that will be of interest to the investors both local and foreign investors. Policy from the government affects everything in the country. From the food and prices of other commodities gets affected by the policy of the federal government hence the government don't have to be so harsh about the policy that they're passing in their country so things don't go from bad to worse. The policy from the government have to be good at all times for the growth of the economy to keep improving.

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Quote from: Mate2237 on January 27, 2025, 11:15:13 AM

Government policies can be good and also bad when a thorough review and research was not done before implementation of such policies economic policies are the biggest threat to both economic growth and even stagnation because when the right economic policies there is set in motion there will be fast growth of economic development because policy formulation is critical to the over all growth of a country

Police's are to make things easy for there citizens and aid orderliness in the country and this are guildiness that everyone must most follow and the bad once are worse than the good aspect of police's and when it comes to the economy, and the government might make police's that will even worsen the conditions of the economy and it's either make things better or worsen it and this days it is even better not to bring any police because a lot of things seems to be different now.

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Also if the wrong economic policies is also implemented the country is definitely suffer because some policies can actually hamper the economic development of a country because there's a direct relationship between economic stagnation with wrong policy formulation and implementation

And the implications of wrong policies as destroyed the economy and my problem with the government is that there focu is how they will juice there citizens even by making police's of extortion and increasing tax that is what they know how to do best and one of the things that sustain the country is the economy and when the economy is bad it will show the wellbeing of the economy matters.

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Quote from: ? on January 26, 2025, 07:08:22 PM

Government should been able to go through a feasibility study before they implement any policies because in most cases government policies is what that’s causes paradigm shifts in the economic system.

If you have noticed by now you will understand that government policies affect different citizens in different ways. Some are happy with the policies because they are benefiting from them or one way or another the policy favors the sector and business they are into. While others are unhappy with how negatively the policies have affected them. Well, not all government policies are really out of passion most of their polices ar self-centered. It's always something that will benefit their cabinet members.

Quote from: ? on January 26, 2025, 07:08:22 PM

In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in,so for economic market to be in equilibrium they must be a mutual understanding between government and the investors.

Is there any specific way of implementing policies? I don't think so because every polices varies and they are meant to yield positive or negative results. A bad policy will surely yield negative things for the country so i think all policies are implement in one way there is no perfect w ay of implementing a bad plociy or a good one.

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Does government policies affect economic

Government policies can make or mar the economy of any nation. Investors are willing to come to any country that has laws that will favour them and protect their investment.

A country that has high taxes or encourages double taxation will not attract investors. A country that lacks basic infrastructure because of poor or faulty economic policies will not groom local investors and bring in foreign capital. An economy that is driven by a corrupt government will never grow because genuine businesses will avoid the country.

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The stricter the government is from an economic point of view, the more developed the country will be, not only the country, but also the legal system and health system of the country will improve. The more mineral resources a country has, the more developed that country is. However, if there is economic inactivity, then it is not possible to meet the needs of the people of the country even with a portion of the per capita income. If people are deprived of all the facilities according to their needs, then we have to see whether the economic management is weak or not. The government of every country should keep an eye on the finance minister so that there is no costly expenditure anywhere. More importance should be given to the education system and medical system. Because the economic system is to meet the basic needs of the people.

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Quote from: ? on January 26, 2025, 07:08:22 PM

Government should been able to go through a feasibility study before they implement any policies because in most cases government policies is what that’s causes paradigm shifts in the economic system.In a developed clime or society,economic sector is what government place more premium on,so as such they need to pay attention to economic system and its market,get close to the investors by making enquiry about the major challenges they normally face,and the methodology that they apply to resolve the issues.On that note,i think the government will know where they can come in with their policies so as to help strengthen the economy system of that country rather than imposing it on them. In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in,so for economic market to be in equilibrium they must be a mutual understanding between government and the investors.

Because the role and position of the government as the manager of all policies concerning the country, the main stakeholders must have good thinking skills with concepts that are continuously updated according to the challenges of the situation.
The economic sector is the most highlighted because it concerns basic needs. What should and should be done must be well conceptualized. If it requires other parties, then that must also be done.

A country needs help from another country and that country also has interests behind it that are mutually known.
In this context, the role of politics has entered.
Managing a country to handle a sector is not easy.

slapper

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Yes, government policies drive the economy. Yes, feasibility studies should happen. But we see it all the time: new legislation implemented without any real-world testing, confusing companies, banks, and common people alike. In an office memo, a policy might seem ideal; but, in reality markets it explodes because the designers neglected to ask investors what really occurs on the ground

Rising prices, currency fluctuations, and investor panic are direct results of that disconnect. Policies based in reasonable facts, stakeholder feedback, and open goals help the economy to flourish. Anything else is a shot in the dark. Accountability is crucial. It is important to consider the impact on both large and small businesses when making changes to tax codes or market regulations

Most important, no single policy stands alone. They all connect to shape how countries develop or collapse, how people live or fight. People want economic progress as well as security and fairness. Not top-down rules, that balance calls for mutual understanding and shared interests. Strong, steady development comes from there essentially

uneng

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Governments' policies will attract or dispel investors, accordingly to its practical impacts over the investors' personal interests.

For an example, a government implementing harsh and abusive taxes will face a mass exit of investors from the country. The same is valid for dictatorships, where there isn't juridical stability, so investors feel fearful and uncertain about the next movements of the government and end cashing out their funds from the country to more friendly ones.

The government's decisions impact all of us in our daily lives and our daily choices also impact the government. The problem is that nowadays we don't work cooperatively anymore. The government treats the citizens unfriendly, and the citizens treat the government as an enemy.

Mate2237

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Government policies can be good and also bad when a thorough review and research was not done before implementation of such policies economic policies are the biggest threat to both economic growth and even stagnation because when the right economic policies there is set in motion there will be fast growth of economic development because policy formulation is critical to the over all growth of a country

Also if the wrong economic policies is also implemented the country is definitely suffer because some policies can actually hamper the economic development of a country because there's a direct relationship between economic stagnation with wrong policy formulation and implementation

stadus

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Obviously, because if government policies don’t attract investors and maintain peace, the economy will undoubtedly struggle. That’s why having the right leaders in charge is crucial as their good decision-making can have a massive positive impact on a country’s economy.

Take our country, for example. Policies for foreign investors aren’t very friendly, like not allowing them to own majority shares in a company. This limits the inflow of big investments. If the constitution were revised to allow more flexibility, it could be the key to attracting more investors.

However, another issue is that some politicians are influenced by big businesses. This often means policies are made to serve the interests of those who helped them rise to power, rather than benefiting everyone equally.

franky1

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as others have said, government DO research, run scenarios, consult industries and draft policies for clarification of consultation periods to work out the impact of a regulation would cause, BECAUSE if a regulation negatively impacts a industry, the industry can sue the government(and industries do when governments overstep)

this can be seen when governments rush through regulation and laws, such as the covid rules of work from home and shutdowns. the government became liable for business and employee losses which is where the government paid out huge sums of money to employers and employees during that period

this is also why many regulations seem to favour the business yet hinder the customer, as the regulations become aimed at ensuring it does not cause direct harm on the business whilst trying to control an industry via its customers. because hindering the business can negatively make the government liable to business loss

?

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What is government policy if not how to better the economy and adequately in return improve the lives of her people. Of course the government do this by making yearly budgets where they put the parastals, agencies, foreign policy relationship with other countries in the budget for that fiscal year. Monies agreed in the budget after going through congress or parliament for deliberation and consent is signed out from the government that such monies allocated for those agencies and government organizations be disbursed for the yearly running of them. This is simply how the government policy affect the economy. The planning of the economy comes from the government through their budget allocation. If government wants curtain infrastructure spending or capital projects, it starts from planning it through the budget and it is also same when they want to increase capital projects. Same goes for micro and macro economy support and growth including lian scheme for entrepreneurs and small business start ups.

So government is the economy and whatever policy they take goes directly into the economy. To create robust economy for investment etc comes from government policies.

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Quote from: ? on January 26, 2025, 07:08:22 PM

Government should been able to go through a feasibility study before they implement any policies because in most cases government policies is what that’s causes paradigm shifts in the economic system.

I thought this is what government have been doing before implementing policies, studies usually already being done and government will decide whether the economic impact will be worth the risk or not.

Quote from: ? on January 26, 2025, 07:08:22 PM

In a society where there’s no proper way of implementing policies,you’ll notice that rise and fall of prices of goods will dorminate the market and inflation will set in

as everything should be, there's no absolute way to mantain equilibrium, market going down and up is what make a market, some people said it's bad, some said it's opportunity.
even if government has been making enquiry, economic shift is unavoidable, it just how the economic works.

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