Data Analytical Questions

Data Analytical Questions

Question 1.

  1. To understand the current state of the economy.

The current economic state of a country influences the occurrence of future contingents’ events such as financial crises. Therefore, governments must leverage data analytics to understand the current state of the economy (Stephen, 2022). According to State Budget Crisis Task Force, data analytics aid a country in understanding the current level of spending, sources of revenue, the impact of tax policies, public perception of the government’s financial statement reporting, etc. (Stephen, 2022). A clear understanding of the government’s current effects of fiscal policies on the economy influences the rationality of the implemented decisions.

  1. To make rational decisions.

Rational decisions by the government positively impact the economic indicators such as tax, employment, and interest rates. Hence, governments must leverage data analytics to make rational decisions (Stephen, 2022). For example, by correcting data unveiling the impact of tax policies, the government can utilize the findings to institute effective fiscal policies that improve the current tax structure (Stephen, 2022). The government’s institutional rational decisions earn it public approval, especially during the implementation of fiscal policies.

  • For public visibility purposes

Public involvement is imperative. Thus, governments must conduct data analysis for public visibility (Stephen, 2022). Noticeably, data analysis engages the public as their impression is corrected. Additionally, the data findings are presented to the public via appropriate media platforms (Stephen, 2022). Public insight and patriotisms are the benefits of public visibility

Question 2.

  1. Transparency regulation

Data transparency plays a significant role in data analytics. Consecutively, a government using a data analytical framework should abide by transparency regulations (Stephen, 2022). For data transparency, the government should disclose methods used to collect data, how the sample was selected, what challenges were encountered, and what data, e.g., tax, spending, and revenue, was corrected (Stephen, 2022).

Accountability impact positively public visibility. Hence, the government leveraging data analysis for administration purposes should uphold accountability by presenting the finding via financial reporting (Stephen, 2022). As a result, the public will conveniently evaluate the reliability and accuracy of the findings. (Stephen, 2022) In the report, the government should materiality disclose total revenue earned, total spending, the tax structure, the effect of tax policies, and public opinions.


Stephen, K. (2022). Data Analytics for Government. [image] Available at: <> [Accessed 24 June 2022].


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