Implications of Government Fiscal and Monetary Policies on Firm's Business
a. Apply your analysis of macroeconomic data and recent policy and policy effectiveness completed to predict trends in GDP growth, inflation, and interest rates.
b. Identify likely effects of predicted trends on your chosen firm's operations. In other words, what should managers be especially attentive to, based on your research? Use examples to illustrate your points and back up your argument with research.
c. Based on your conclusions regarding areas of risk that are systematic in origin, describe one or more ways that the firm's operations may be significantly influenced by shifts in money and capital markets, and government regulation of these.
d. Identify and describe one ongoing policy initiative currently underway that might raise or mitigate systematic risk, if it is successful. Describe the empirical or historical basis of this action, and evaluate the potential effectiveness of this policy. Illustrate the theoretical basis of this action using research. If this action is successful, how will this be beneficial or detrimental to the firm you have selected to review here?