Journal of the International Academy for Case Studies (Print ISSN: 1078-4950; Online ISSN: 1532-5822)

Abstract

The Role of Fiscal Policy in Shaping Business Environments

Author(s): Ding Li

ABSTRACT Fiscal policy government decisions on taxation, spending, and borrowing—plays a pivotal role in shaping the economic landscape in which businesses operate. It influences aggregate demand, investment climate, consumer behavior, and overall market stability. In both developed and emerging economies, fiscal policy serves as a strategic tool to stimulate growth, manage inflation, and support employment. This article examines how fiscal policy affects business environments, highlighting its mechanisms, impacts, and implications for long-term economic development.

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