To address the cracking issues prevalent in cement-stabilized macadam base layers, an appropriate blend of rubber powder and polyvinyl alcohol fibers was integrated into the mix. Comprehensive evaluations through strength, compressive rebound modulus, shrinkage performance, and scanning electron microscopy (SEM) tests were conducted. These assessments aimed to discern the effects of various admixtures, including rubber powder, modified rubber powder, fibers, and varied cement dosages, on the mixture's resistance to cracking. The empirical results indicate a pronounced influence of these admixtures on the properties of the cement-stabilized macadam mixture. Specifically, the addition of rubber powder and modified rubber powder resulted in a reduction in strength and compressive rebound modulus, while enhancing shrinkage resistance. Conversely, the integration of fibers enhanced the mixture's strength, modulus, and resistance to shrinkage. A higher cement dosage significantly improved the strength and compressive rebound modulus, but reduced the shrinkage resistance. Macroscopic mechanical tests and SEM analysis further confirmed that modified rubber powder fibers exhibited robust adhesion with the cement matrix, substantially improving the mixture's crack resistance capabilities.