Trade and investment are globalizing they are increasing free to flow across international boundaries. Production by US companies, for example, takes place in countries all over the world. Markets around the world are becoming more interdependent. Economic Policy A crucial issue in economics is the role of the government in the economy. Government decisions regarding the economy are called economic policies.
All governments have economic policies.
Debates over economic policy can arise from disagreements over ends or means but the latter are the most common. Finally, economic policy is not made in a vacuum. There are not only conflicts over economic policy goals but there are also conflicts over economic versus political goals. All of these must be taken into account in discussions of economic policy.