The inside lag is defined as the length of time it takes
A) to recognize that a disturbance has occurred
B) for automatic stabilizers to mitigate a disturbance
C) for a policy to affect the economy after its implementation
D) to recognize that a disturbance has occurred and then formulate and implement an appropriate policy response to it
E) for a policy measure to be implemented after the administration decided on this policy
Correct Answer:
Verified
Q11: Designing successful economic stabilization policy is difficult
Q12: Economic forecasters
A)almost always time their proposed policy
Q13: Policies designed to stabilize economic activity are
Q14: Formulating an appropriate policy response to an
Q15: If it is clear that a disturbance
Q17: Most economists believe that
A)the expectations of firms
Q18: The outside lag is defined as the
Q19: The best policy response to a disturbance
Q20: If an economic disturbance is known to
Q21: Multiplier uncertainty is a major handicap for
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