Question

Why should policymakers care about the macroeconomic fundamentals?

Answer 1

Macroeconomics effects a large number of population that's why policymakers care about their fundamentals of macroeconomics in things such as interest rates, foreign exchange rates, inflation and other macroeconomics indicators.

Policymakers have a difficult job when it comes to macroeconomics. Economic factors are interrelated in so many ways that a change in one factor can have unintended consequences on multiple others. Policymakers therefore have to maintain a fairly delicate balancing act while trying to tip the scales toward economic growth in ways that do not increase overall economic volatility.