Impact of implementation of initiatives from government on consumers:

As in the above scenario due to corona virus outbreak many people are facing some problems.
Government has giving incentive to the production so it will reflect positive impact on
consumers. Provision of subsidy will reduce price of housing services to the consumers. If
consumer was paying more amount for house before subsidy so it will be a great advantage for
consumer he will get some discount due to subsidy. Subsidized interest rate will make
consumers to pay less tax. Government raise fund allocation to the construction industry due to
the funds consumer has buying power to purchase the house. The burden is divided between
government and consumers due to subsidy.

Impact of implementation of initiatives from government on producers:

Subsidy for producers is a cost giving by the government to producers that reduce their cost of
production and hence will increase output. If production industry offers housing services in
fewer prices so they can attract more consumers. It will reduce marginal cost and producers will
produce maximum amount of houses due to government subsidy because the government takes
part in production cost. To reduce the cost of production for construction government takes
initiative of one window legal process in this way government need to reduce taxes and need to
reallocate their taxes in existing budget.