Assignment Context: (Fiscal policy: macroeconomic policy as a strategic policy objective)

It is often argued that fiscal constraints severely limit the ability of government to expand redistributive programmes. Instead, it is argued that growth strategies focusing onstructural economic reform

Develop a strategic policy approachfor government that addresses the strategic imperatives and constraints of government. This approach needs to directly address:

2. Government spending - socialising spending in society

3. Taxation - mobilising resources for social interventions

4. Fiscal policy - macroeconomic policy as a strategic policy objective

• Describe the role of fiscal policy as a discrete objective of Government
• Describe the fiscal policy areas of intervention and the strengths and weaknesses of alternative approaches
• Analyse the manner in which tax, expenditure and government borrowing interact in affecting macroeconomic outcomes
• Compare the competing views on the relationship between fiscal policy and the achievement of inclusive growth (i.e. addressing inequality and unemployment)