Impact of Monetary and Fiscal Policies on the Social Media Sector in UK

Introduction to the business
Environmental

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Impact of Monetary and Fiscal policies on the complete social sector.......................................3
Role of Corporate Social Responsibility and ethics in shaping the activities of social media
sector companies..........................................................................................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business environment deals with all the internal and external factors that impacts the
functioning of the company such as employees, supply, demand, management, customers and
even the business regulations (Hall, 2020). The example used to show the business environment
can be the extent to which the needs and demands of the customers are met. This report is based
on the social media sector of UK which is facing an expansion and progress rapidly. Various
aspects of this sector can be discussed. But the report will mainly describe the monetary and
fiscal policies of UK and its impact on the social media sector. Furthermore, it will also highlight
the importance of Corporate Social responsibility (CSR) and its impact on the activities of Social
media. In order to justify this, various examples of companies will be given to prove the same.
MAIN BODY
Impact of Monetary and Fiscal policies on the complete social sector
Monetary policies are basically the actions of central banks which are performed for achieving
the objectives of macroeconomic policy such as full employment, stable economic growth and
price stability. Fiscal policy means the tax and the spending policies made by the federal
government whose decisions are mainly determined by the Congress and the Administration.
Monetary and Fiscal policies both are the tools which influences the economic activity of the
nations. Monetary policies mainly focus on managing the interest rates and total money supply in
circulation and this is generally carried out by the central banks. Fiscal policy is used to describe
the taxing and the government’s spending actions and is used collectively. In many countries, the
national fiscal policy is mainly examined by the executive and legislative government’s branches
(Petrevski, Trenovski and Tashevska, 2019).
The central banks make the use of monetary policies for either stimulating an economy or
checking its growth. The main aim of these policies is to spur economic activity by incentivizing
the individuals and the businesses for borrowing and spending. So, on the other hand they can
also considered as a brake on the inflation and various other issues that have an association with
an overheated economy.
On the other hand, the focus of the fiscal policies is on targeting the total level of spending, the
total spending composition or both. The fiscal policies are affected by changes in the spending
policies of the government or its tax policies.
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