Economic Policies that Affect Business Environment

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The economic environment of a business includes various economic policies, economic system, strategies for economic growth and development, size of market, etc. Among these, the economic policies lay the framework with which an organization has to function.

Here are the 4 economic policies that affect business environment.

• Fiscal policy – It refers to the government’s tax efforts, public expenditure and public borrowing with which the government encourages consumption, investment and saving habits while also restricting them.

• Monetary policy – It is the set of policies implemented by the central bank of a country to control the economic condition. It is the bank’s responsibility to maintain the price level and the money supply in the country.

• Foreign trade policy – The policy determines the scope for trade between two countries and also analyses how it directly affects the business prospects of the business organizations.

• Price policy – It refers to the controls excised by the government on the price in a country. If the price is not controlled, inflation and economic instability can occur.

Are you looking for the best business schools in Kochi, Kerala RCBS Rajagiri Centre for Business Studies is the right choice for you.The top-rated b schools in Kerala offers you a choice of post graduation courses such as MBA, MHRM, PGDM etc.


To Know More  https://rcbs.rajagiri.edu/
Location: Kerala, India

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