Question

Describe a central economic concept that gives insight on the basic policy issue addressed on the benefits of regional planning?

Please make it a longer response.

Answer 1

SOLUTION

CENTRAL ECONOMIC POLICY- BENEFITS OF REGIONAL PLANNING

Governments can use macro-economic policy including monetary and fiscal policy to stabilize the economy. Whereas the central banks use monetary policy to increase or decrease the money supply and use the fiscal policy to stabilize the prices. Macroeconomics is the study of the behaviour of the economy as the whole, which is different from micro economics, which concentrates more on individuals and how they make econnomic decisions Macro economic policies can also help regional planning in reducing the conflicts and competition for resources between cities in a region. Developing small towns or satellite town helps in relieving the stress from higher order town thus increasing effeciency.

• Regional planninng also deals with the effecient placement of land-use activities, infrastructure and structure across a larger area of land than a individual city or town. And it is also related to Urban planning as it relates land use practices on a broader scale. Implementing a policy such as macro-economic policy helps to increase the effeciency of the regional planning.
• Macro-economics is very complicated, with many factors that influence it.These factors are analysed with various economic factors that tell us about the overall health of the economy.
• Macro-economic policies try to forecast economic conditions to help consumers, firms, and governments make better decisions.
• Consumers want to know how easy it will be to find work, how much it will cost to buy goods and services in the market or how much it costs it may cost to borrow money.
• Governments turn to macro-economic when budgeting spending, creating taxes and making policy decisions.