Fiscal Policy
Definitions
• This describes changes to government spending and revenue behavior to
influence the economy. (Weinstock, 2021)
• The use of government spending and taxation to influence the economy.
(Lumen Learning, 2017)
• The means by which a government adjusts its spending levels and tax
rates to monitor and influence a nation's economy. (Kramer, 2021)
Monetary Policy
Objectives of Fiscal Policy
Economic
Growth
03
02
Price Stability
01
Full
Employment
Two levers
of the Government
Taxation
Levels
National
Economy
Spending
Levels
Types of Fiscal Policies
• Expansionary
• Contractionary
• Neutral
This type of policy is
usually undertaken
during recessions to
increase the level of
economic activity.
In this instance, the
government spends
more money than it
collects in taxes.
This type of policy is
undertaken to pay
down government
debt and to cap
inflation.
In this case,
government
spending is lower
than tax revenue.
This type of policy is
usually undertaken
when an economy is
in equilibrium.
In this instance,
government spending
is fully funded by tax
revenue, which has a
neutral effect on the
level of economic
activity.
AD/AS Model
Instruments of Fiscal Policy
BUDGET
PUBLIC DEBT
TAXATION
PUBLIC
EXPENDITURE
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Socio-Economic Development
• Social Economic Development incorporates public concerns in
developing social policy and economic initiatives. The ultimate
objective of social development is to bring about sustained
improvement in the well-being of the individual, groups, family,
community, and society at large. It involves sustained increase in
the economic standard of living of a country’s population, normally
accomplished by increasing its stocks of physical and human
capital and thus improving its technology.
Source
14
Socio-Economic Development Model
Source
15
Components of Social Quality
Source
16
Socio-Economic Development in the
Philippines
Source
19
Socio-Economic Development in the
Philippines
Source
20
Socio-Economic Development in the Philippines
Source
21
Philippines – Voluntary National Review 2019
• GOAL 4: EDUCATION
– Alternative Learning System (legal framework)
• GOAL 8: DECENT WORK
– Green Jobs Act
– Sustainability Reports for PLC – SEC
– Mentor Me – DTI
• GOAL 10: REDUCE INEQUALITY
– Conditional Cash Transfer (4P)
– Republic Act 10524
– Assistance to Disadvantaged Municipalities
https://sustainabledevelopment.un.org/hlpf/2016/philippine s
Philippines – Voluntary National Review 2019
• GOAL 13: CLIMATE ACTION
–
–
–
–
Climate Risk Management Framework
Project NOAH
Ban on single-use plastic
Sustainable Consumption & Production Action Plan
• GOAL 16: PEACE, JUSTICE & STRONG INSTITUTIONS
– Bangsamoro Organic Law
• GOAL 17: EFFECTIVENESS OF PARTNERSHIPS
– Official Development Assistance Portfolio Review
https://sustainabledevelopment.un.org/hlpf/2016/philippine s
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