Government policy is a high-level articulation of principles that defines how an institution should operate. It provides a framework for decision-making, guiding the “how,” “where,” and “when” of policy implementation. It also helps institutions manage relationships and establishes protocols for addressing issues that fall outside the scope of existing law. Policies are often created to address a specific need or challenge facing an organization, but they can also be aimed at creating new opportunities. Examples include policies that determine how much tax you pay, where you can park, and the kind of education you receive.
Governments develop policies to solve the complex problems they face. They do this by examining the social context and making choices about what kind of intervention to pursue, how the issue should be addressed, and which groups or individuals will benefit from the policy. Those who benefit from the policy are considered winners and those who do not benefit, or lose out, are called losers.
Policymaking is a highly political process that can involve different branches of the government, and is often influenced by interests in the wider society. These interests may include economic concerns, security needs, and the desire to maintain a certain level of political legitimacy.
Some policy initiatives focus on distribution, while others are aimed at tackling core societal issues like poverty, health, and education. An example of distribution policy would be a government program that subsidizes housing costs for low-income families, or an education policy that improves the quality of teachers or curricula.