Which of the following statements is true?
A) Unlike monetary policy, fiscal policy is not subject to lags.
B) Like monetary policy, fiscal policy is also subject to the same types of lags.
C) In general, fiscal policy lags are much shorter than monetary policy lags.
D) Although both monetary and fiscal policies are subject to lags, fiscal policy lags are easier to eliminate.
Correct Answer:
Verified
Q103: Which of the following statements is true
Q104: Some economists argue that
A) discretionary monetary policy
Q105: Suppose the government increases government purchases and
Q106: Crowding out occurs when expansionary fiscal policy
Q107: The various studies of the size of
Q109: If private sector investment does not respond
Q110: When contractionary fiscal policy leads to
A) less
Q111: Expansionary fiscal policy leads to
A) lower interest
Q112: An expansionary fiscal policy is likely to
A)
Q113: An expansionary fiscal policy is likely to
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