The lags associated with spending changes are shorter than the lags associated with tax changes.

Name: The lags associated with spending changes are shorter than the lags associated with tax changes.
Brand: Quizplus
Rating: 4.9 (46 reviews)

Question

Quizplus · Accepted Answer

The lags associated with tax changes are generally shorter than those associated with spending changes because tax adjustments can often be implemented more quickly and directly affect household and business incomes, whereas spending changes often require more time to plan, approve, and execute.

The Lags Associated with Spending Changes Are Shorter Than the Lags