"its employees and to meet them they believe that there should be equal and fair treatment ofall. They also believe in being ethical in all their practices and behaviour so that there isfulfilment of its legislative responsibilities. The company has also been part of many CSRactivities. There is also a HER project under their head that believes in educating their ownwomen employees about importance of maintenance of personal health and hygiene.(Businesscasestudies.co.uk, 2016)Individual Questions:2.1 Different countries operate different economic systems to attempt to allocateresources effectively. Research and explain the type of system operated in the followingcountries and reasons why you think they follow these systems.a) Cubab) United Kingdomc) ChinaEvery nation or economy plans and adopts different patterns of economic systems so thatthey can allocate their limited resources very efficiently. Any counties economic system isthat framework that determines how these limited resources will be distributed and how ithelps in the business decision making process of the organization. There are mainly threetypes of economic systems: Planned, Mixed and free.1. Cuba has a Planned Economic SystemAs we know that in a planned economic system the major power lies with the centralgovernment of the country. Major decisions regarding the production of the goods in theeconomy is taken by the government agency have. The major advantage regarding these kind of economies is that they ensure that there is equal distribution of resources that too withoutduplication. But the problem is that data collection and planning process becomes lengthy.In Cuba, the Central Government holds around 71% of the whole business, that is, the public- sector enterprises are more in the economy and private sector has very less share in theeconomy.(Rosefielde, 2013)2. United Kingdom has a Mixed Economy.A mixed economy is one where there is co-existence of private and public sector enterprise.In this system, the overall plans and objectives are made by the private sector with verylimited interference by government. This allows the businesses to take their individualdecisions without much interference. The focus can also be more on their own customerdemands. 3. China has a Free Economic SystemIn a free economic system there is no interference by the government. In this type of systemthere is direct contact between customer and seller. So, there is free play of supply anddemand factors. All the resources are owned by private enterprises and contribution of privatesector in their overall GDP is also around 70%. By this there is a greater chance forinnovation in the economy as well as supply of high quality products. But the economy alsobecomes prone to fluctuations and unequal distribution. (Liu, 2009) 2.2 2.2 In the UK the Chancellor of the Exchequer and the Bank of England plays asignificant role in regulating the economy. The tools used by them are referred to as Fiscaland Monetary policies respectively.You are required to assess the impact of fiscal and monetary policy on the following type ofbusinessesa) Farmingb) Housing As we all know that no matter how different the economies are the political environment andthe government policies impact their business in many ways.In case of U.K, the main post holder of treasury is Chancellor of Exchequer and isresponsible for all the economic decisions of the economy. Bank of England being thehighest Monetary Authority of the country is in control of the monetary policies concerningthe economy.Now what is fiscal and monetary policies. Fiscal policies are those made by the governmentregarding how it would spend on the economy and how it will generate revenue. AndMonetary Policy is concerned with the demand and supply of money in the economy.(Peng,2009)As we know that UK has around 69% of cultivable land in UK and this engages only 1.5% ofthe country’s workforce. So, if there is any fiscal expansion like reduction in tax rate it willbenefit the sector. Similarly, in case of monetary policy, if there is any relaxation in theinterest rate there will be more liquid cash in the market which is beneficial for the farmers asthey can invest more and get more. (Morgan, 2005)As far as housing sector is concerned, both fiscal and monetary policies cam drastically effectthe overall functioning of this sector. The fiscal policy decisions like increase in tax rates anddecrease in government spending can reduce the purchasing power of the whole economy. As "