Light

Policy

Definition

A policy refers to a course or principle of action proposed or adopted by a government, party, business, or individual.

Analogy

Consider policy as your school's code of conduct. It outlines what behaviors are acceptable and unacceptable - just like how governmental policies determine what actions are permitted within society.

Related terms

Public Policy: This term refers to decisions made by governments intended for promoting welfare and social issues such as crime prevention, health care etc.

Foreign Policy: These are strategies chosen by national governments to safeguard their national interests in interactions with other countries.

Fiscal Policy: This involves changes in tax rates and public spending to influence macroeconomic conditions within a country's economy including inflation, employment, growth etc.