Fiscal policy significantly impacts public welfare by influencing economic stability, employment levels, and the distribution of resources. Through taxation and government spending, fiscal policy can stimulate growth during economic downturns or cool off an overheating economy. Allocating funds to essential services such as healthcare, education, and social programs directly affects citizens' quality of life and well-being. Additionally, fiscal policies can address issues of inequality through progressive taxation and targeted social investments. Therefore, the formulation of sound fiscal policy is critical to promoting social equity and enhancing overall public welfare in a society.