Market cap is often used as an initial indicator to assess a company’s stability, growth potential, and risk profile. Company size generally correlates with its risk-return characteristics, capital structure, and resilience to economic shocks. Investors and business partners see market cap as a benchmark of a company’s strength and position within its industry.

Fiscal policy was first introduced by John Maynard Keynes, and became widely adopted globally following the Great Depression after World War I in 1929. According to Keynes, the government has the right—and obligation—to manage national income and expenditure by setting taxes and creating policies to support macroeconomic stability.