Effects of Fiscal Policy

Think about how fiscal policy can effect your firm (Microsoft Corporation). Please address the following questions in a 3 page essay:

Suppose the government imposes tax cuts for 95% of all households. How does this affect your firm?

2. In the past few years, the government has had an important role in “bailing out” certain industries. This is a type of government spending. How was your firm affected by the government bail out (it can be direct or indirect)?

3. In general, discuss some advantages and disadvantages of a government bail out by doing some of your own research.

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