Assignment on Microeconomics Role of Current Pakistan Government in the Economy Name Student ID Course Course Instructor Muhammad Hassaan

Khan SP11-MM-0003 Microeconomics Muhammad Shujaat Mubarik

CURRENT ECONOMIC ROLES OF PAKISTANI GOVERNMENT

Although times have been tough on current Pakistani government but still its trying to implement its roles on the economy. 1. IMPROVING THE EFFICIENCY OF DIFFERENT SECTORS OF ECONOMY: When we use the term efficiency, we mean using or utilizing the available resources to get maximum output reach. But in case of Pakistan, the government has failed to sustain efficiency level on optimum grade. In a nutshell, if house around different sectors of Pakistans economy, it has been rather stagnant. 2. CONVERSION FROM IMPERFECT MARKET TO PERFECT: As we know that, perfect market is like a gauge to calculate the capability of ones economic markets. In case of Pakistan, while looking into different sectors and markets, its still far behind when it comes to its closure with perfect market mark. 3. REDUCING ECONOMIC INEQUALITY: The government has been disabled to let their tax payers trust on them, raising basic commodity prices 200% in one financial year says all. Apart from that, raising tax burden, with raising costs of income support programs, resistance from tax payers can easily be seen. 4. STABILIZING THE ECONOMY THROUGH MACROECONOMIC POLICIES: It is the responsibility of the government to limit the after affects of ups and downs of the business cycle. In case of Pakistan, its vice versa as subsidies being eradicated and new taxes imposed directly to overcome the effect of deficits and losses experienced in the budget.