The _____ lag is the time required to turn fiscal policy into law to have an impact on the economy.
A) information
B) recognition
C) implementation
D) decision

Question

Quizplus · Accepted Answer

The implementation lag refers to the time it takes for fiscal policy changes to be enacted and take effect in the economy. It can take several months for policy changes to be passed and implemented, which can delay their impact on the economy. The information and recognition lags refer to delays in collecting and interpreting economic data to inform policy decisions, while the decision lag refers to the time it takes for policymakers to agree on and announce a course of action.

The _____ Lag Is the Time Required to Turn Fiscal