You are given a chance to complete seven-year term as the chief economic policy advisor responsible for managing the economy of a nation. You are expected to develop report for the incoming administration. In this outgoing report, you will summarize your macroeconomic policy decisions and the economic outcomes for the nation.

Taxation Policies:

Explain your intent for the taxation policy decisions you made over your seven-year term. What are the macroeconomic principles or models that could influence your decision making?

Identify the impact of changes to the income and corporate tax rates you would make. How could consumption and investment be affected by your tax-policy decisions? Explain these dynamics using specific macroeconomic principles from the course reading.

Compare and contrast the impact of tax policy decisions you would make with those of current or historical examples in the United States. What do these examples demonstrate about the validity of macroeconomic models?