The ________ lag is the time it takes for policymakers to change policy instruments once they have decided on the new policy,while the ________ lag is the time it takes for the policy to actually have an impact on the economy.
A)recognition; implementation
B)legislative; effectiveness
C)implementation; recognition
D)implementation; effectiveness

Question

Quizplus · Accepted Answer

The implementation lag refers to the time it takes for policymakers to change policy instruments once they have decided on the new policy, while the effectiveness lag refers to the time it takes for the policy to actually have an impact on the economy. Therefore, choice D is the correct answer. Choices A and B are incorrect because they do not accurately describe the different types of lags. Choice C has the lags in reverse order.

The ________ Lag Is the Time It Takes for Policymakers