The Fed meets about every 6 weeks;therefore,the decision lag for monetary policy is shorter than for fiscal policy.

Question

Quizplus · Accepted Answer

The statement is true. The Federal Reserve Board meets approximately every six weeks to make decisions about monetary policy, which can be implemented relatively quickly. In contrast, fiscal policy decisions require legislation and may take longer to implement. Therefore, the decision lag for monetary policy is typically shorter than for fiscal policy.

The Fed Meets About Every 6 Weeks;therefore,the Decision Lag for Monetary