The three time lags that accompany policy decisions are
A) recognition lag,implementation lag,and impact lag.
B) crowding-out lag,implementation lag,and impact lag.
C) recognition lag,implementation lag,and countercyclical lag.
D) crowding-out lag,implementation lag,and countercyclical lag.
E) crowding-out lag,stabilizing lag,and countercyclical lag.

Question

Quizplus · Accepted Answer

The recognition lag is the time it takes for policymakers to recognize that a problem exists and needs to be addressed. The implementation lag is the time it takes for policymakers to put a plan into action once they have recognized the problem. The impact lag is the time it takes for the policy to have its intended effect on the economy or society.

The Three Time Lags That Accompany Policy Decisions Are