THE IMPACT OF ECONOMIC POLICIES ON THE BUSINESS ENVIRONMENT
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ABSTRACT: THE IMPACT OF ECONOMIC POLICIES ON THE BUSINESS ENVIRONMENT
The primary objectives of this study are to: 1) evaluate the effects of fiscal policies on business operations; 2) assess the impact of monetary policies on market stability; and 3) analyze how trade policies influence business growth. A survey research design is adopted for its effectiveness in gathering data from a broad population, allowing for comprehensive analysis. The sample size, calculated using Taro Yamane’s formula for a 95% confidence level and 5% margin of error, includes 400 business owners and managers. The case study focuses on manufacturing firms in Lagos, a hub for diverse business activities. A reliability coefficient score of 0.85 ensures the reliability of the survey instruments. Findings indicate that economic policies significantly influence business operations, market stability, and growth prospects. Fiscal policies like taxation and government spending directly impact business costs and profitability. Monetary policies affect credit availability and interest rates, influencing investment decisions. Trade policies alter market dynamics and competitive landscapes. The study recommends that policymakers create balanced economic policies that support business sustainability and growth while ensuring economic stability.
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