Economists usually view ________ policy as having a shorter implementation lag than ________ policy,but there is substantial uncertainty about how long this lag is.
A)fiscal; incomes
B)fiscal; monetary
C)monetary; incomes
D)monetary; fiscal

Question

Quizplus · Accepted Answer

Economists usually view monetary policy as having a shorter implementation lag than fiscal policy. Monetary policy refers to the actions taken by central banks to control the money supply and interest rates in the economy. These policies can be implemented relatively quickly and can have an immediate impact on the economy. Fiscal policy, on the other hand, refers to government spending and taxation policies, which may take longer to implement and have a delayed impact on the economy. However, there is substantial uncertainty about how long the lag for each policy is.

Economists Usually View ________ Policy as Having a Shorter Implementation