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Author Question: Why is the time lag for making fiscal policy changes longer than for making monetary policy ... (Read 121 times)

fagboi

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on: Jun 30, 2018
Why is the time lag for making fiscal policy changes longer than for making monetary policy changes?

Question 2

Less-developed countries are experiencing rapid population growth because _____.
 a. birthrates are rising at a slower rate than mortality rates
  b. birthrates are falling while mortality rates are rising
  c. both birthrates and mortality rates are falling
  d. birthrates are rising while mortality rates are falling
  e. birthrates are constant and mortality rates are rising


katieost

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Reply #1 on: Jun 30, 2018
Answer to Question 1

Both monetary and fiscal policies face forecasting and lag problems, but the Fed can act more quickly than fiscal policies, which must make their way through the Legislative and Executive branches of government.

Answer to Question 2

d


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